U.S. SENATORS CALL FOR TOUGHER SANCTIONS AND MILITARY OPTIONS AGAINST IRAN NUCLEAR PROGRAM
Two U.S. senators have urged the government to impose stricter sanctions and consider military action to halt Iran's nuclear ambitions. This move signals heightened tensions and a potential shift in U.S. foreign policy towards Iran.
EU TO MEET ON RETALIATION PLANS AS U.S. TRADE TENSIONS ESCALATE
The European Union is set to finalize retaliatory tariffs in response to new 30% U.S. tariffs on a broad range of EU goods starting August 1. Brussels plans countermeasures targeting up to €72 billion in American exports, escalating trade tensions between the two economies.
IRAN AND THREE EUROPEAN COUNTRIES AGREE TO RESUME NUCLEAR TALKS WITHOUT SET DATE
Tehran and three European nations have agreed to restart nuclear negotiations, although no specific timeline has been established. This development may impact geopolitical dynamics and international relations. The uncertainty could influence market sentiments and currency valuations related to the involved regions.
NO AGREEMENT YET BETWEEN IRAN AND EUROPEAN TROIKA ON NEGOTIATION LOCATION
Tasnim Agency reports that Iran and the European Troika have not reached an agreement regarding the venue for their upcoming negotiations. This uncertainty could delay diplomatic talks and impact related geopolitical developments.
EU IMPOSES 18TH SANCTIONS PACKAGE TARGETING RUSSIAN BANKS AND COMPANIES
The European Union has announced its 18th sanctions package against Russia, targeting 22 banks, dozens of factories, and 41 legal entities, including some registered in China and India. These measures intensify the economic pressure amidst the ongoing war in Ukraine and follow the withdrawal of major global companies from the Russian market.
CHINA'S OIL IMPORTS FROM SAUDI ARABIA RISE AS RUSSIAN OIL IMPORTS DECLINE IN JUNE
China's imports of Russian oil fell by 1% year-over-year in June to 8.35 million tons, while imports from Saudi Arabia increased by 16% to 7.90 million tons. Overall crude imports rose 7.4% year-over-year to 49.89 million tons, driven by strong refinery demand and increased purchases from Saudi Arabia and Iran.
UBS Forecast: Dollar Selling to Resume, Buy EUR/USD at 1.15 Target 1.20
The US Dollar index slumped 10.7% over the first half of 2025, but has managed to rally in July with the Euro to Dollar (EUR/USD) exchange rate dipping to below the 1.1600 level from 45-month highs at 1.1830 on July 1st. President Tump is continuing to put strong pressure on the Fed to cut interest rates, but confidence in a September rate.
BNP Paribas Forecast: EUR/USD Tipped at 1.25 by End 2026
From a 45-month high at 1.1830, the Euro to Dollar (EUR/USD) exchange rate has retreated to lows near 1.1560 before a recovery to near 1.1650. BNP Paribas maintains a bearish underlying dollar stance, especially given the negative international position.
Nomura Forecast: Maintain GBP/EUR Short Positions, Target 1.1430
Last month Nomura recommended selling the Pound to Euro (GBP/EUR) exchange rate at 1.1860. The bank maintains a bearish stance on UK fundamentals and still considers that the trade is valid with a target of 1.1430.
ECB LIKELY TO HOLD OFF ON INTEREST RATE CUT DESPITE ECONOMIC THREAT FROM TRUMP'S TARIFFS
The European Central Bank is expected to maintain current interest rates despite economic pressures stemming from tariffs imposed by the Trump administration. This cautious approach reflects concerns over the impact of trade tensions on the Eurozone economy.