Optimism reigns across financial markets, weighing on the dollar
Good morning. Financial markets are in an ebullient mood as investors bet the US and Iran will reach a peace deal in the coming weeks, allowing the Strait of Hormuz to reopen and relieving the supply shock battering global commodity flows. Although Washington and Tehran are still blockading global shipping and energy shortages are worsening by the day, mediators from Pakistan and the Gulf countries are reportedly working on an extension to last week’s ceasefire, which expires on Tuesday, and are moving closer to arranging another round of talks. North American equity indices are flirting with record highs, Treasury yields...