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Sign InThe US dollar experienced a modest recovery following the breakdown of peace negotiations between Washington and Tehran. This geopolitical shift was further intensified by Donald Trump's announcement of a maritime blockade on all traffic entering and exiting Iranian ports. Consequently, the greenback rose 0.3% against the euro to $1.169 and 0.25% against the British pound to $1.342. Market analysts attribute this movement to increased safe-haven demand as diplomatic efforts failed and conflict escalated. However, HSBC remains cautious, projecting that the dollar may eventually weaken despite these current geopolitical gains. The market reaction reflects a recalibration of risk following the sudden escalation of tensions in the Middle East region.