The US and Israeli attacks on Iran on Saturday, February 28, 2026, sparked global concerns, causing gold, silver, and oil to gap up. The escalating tensions caused safe-haven assets like gold to surge significantly and experience extreme volatility.
Yesterday, USD/CHF rose quite sharply. Technically, high volatility suggests a technical correction. Yesterday's CHF weakening was due to the USD. This point likely represents historical resistance, and a correction is likely, unless the USD extends its gains today.
Amid global uncertainty stemming from the conflict in the Middle East, demand for safe-haven assets, such as the Japanese Yen and the US Dollar, is expected to increase. Yesterday, demand for USD was higher than for JPY, indicating a strengthening of the US dollar.
Although the Middle East war shows no signs of abating, gold prices have not seen a significant spike, currently hovering around $5,090. It is expected that if the war escalates further, gold prices will rise as investors seek safe-haven assets like gold to protect against inflation.
WTI oil prices have surged above $100, gapping up at the market open today. Stop-loss orders have been modified to anticipate a sharp correction following the rally. The target, in the event of a regional war, is around $120 per barrel.
Gold prices have remained relatively stable above the $5,000 mark, currently hovering around $5,147. The Middle East conflict remains a hot topic, potentially driving gold prices. Yesterday, the USD weakened from a high of around 99, dropping to 98. However, in recent days, the DXY has tended to be limited within a range below 100.
USD/CAD rose yesterday due to a strengthening USD. The DXY is currently around 99.743, up around 0.94%. Technically, this is a resistance area for the US dollar index. Today, economic data from both Canada and the US will be released, which could change the direction of the movement. Oil prices rose again, supporting the CAD as a commodity currency, as Canada relies on oil exports.
Tensions in the Strait of Hormuz continue to push oil prices higher, but other factors are limiting gains. The IEA will release strategic oil reserves to support supply. Oil demand is also expected to slow due to global inflation driven by high energy prices.
The DXY strengthened after the Fed decided to keep interest rates steady in the 3.50% - 3.75% range at its meeting on March 18. EURUSD is expected to extend its decline today.
The US dollar index weakened, although it briefly reached 104, but dropped to around 99 yesterday. If the weakening continues, USDJPY may fall again. Try betting in this area with a stop loss near resistance.
