The Turkish Lira languished around its record low on Tuesday, after the US began blocking ships from entering or exiting Iranian ports in the Strait of Hormuz, attempting to bring Iran back to the table.

Germany’s benchmark stock index steadied in previous trading session. Trump on Sunday said the US will blockade the Strait of Hormuz after talks held in Pakistan to end the Iran war hit the skids.

Asian stocks tracked Wall Street higher on Friday, with China’s A50 hovering around 15,000. Saudi Arabia’s critical pipeline to the Red Sea suffered a recent attack from Iran, cutting throughput by 700,000 bpd.

The US and Iran agreed to a conditional two-week ceasefire deal that includes the reopening of the key Strait of Hormuz waterway. That came after Trump’s threat to wipe out the Persian civilisation.

Oil prices steadied on Thursday as Trump has announced 50% tariffs on countries supplying Iran with weapons. Vice President JD Vance has confirmed the Iran ceasefire is fragile.

The dollar sank to its lowest level in a month while the pound shot up on Wednesday after Trump said he agreed to suspend planned attacks on Iranian infrastructure for two weeks.

US equity indexes closed modestly higher on Monday despite resilient oil prices, as investors waited for clarity on the prospects of a resolution to the war in the Middle East.

Gold snapped its 4-day rally on Thursday after Trump signalled tougher US military action. Iran and Oman are reputedly drafting a protocol to “monitor transit” through the Strait of Hormuz.

Oil prices rose sharply on Thursday after Trump warned of further military aggression against Iran in the next two or three weeks, dampening hopes for an imminent de-escalation in the conflict.

Thousands of soldiers are heading to the Middle East, an exercise in coercive diplomacy designed to increase leverage as Trump turns up the pressure for Iran to come to the negotiating table.

The euro inched up on Wednesday, with the dollar’s gains from safe-haven demand fading, as Trump said the war with Iran could wind down within two or three weeks.

The dollar headed for its biggest monthly gain since July on Tuesday though Fed Chair Powell signalled no rush to raise interest rates. The yuan moved sideways on the latest economic data.