Risk on is back!
Trump has delivered the bulls a late Christmas present by saying that nobody was injured in the recent attacks by Iran and the Iranians are not looking to escalate the conflict.
However, the US President did say that he will be adding more sanctions on the nations and he will not let them have nuclear weapons.
The US bourses soared to record levels once again and gold dropped on the news as the geopolitical tension trade unwound. USD/JPY has also pushed higher after falling last night but it seems traders were fully aware that Iran would not increase tensions.
Looking forward there is always a slim chance that Iran or indeed the US might start bothering each other once again. So always be aware of the news and watch out for any further developments.
Lastly, crude oil has taken a dive as the middle east is a key region for the commodity. Now that the tensions seem to be easing we could expect the price of WTI and Brent to revert to more normal levels.