Forexlive Americas FX news wrap: BIg moves and big angst in the Middle East

The geopolitical tensions in the Middle East continue to drive big moves in the FX market as traders grapple with the uncertainty and angst surrounding the situation. The US dollar was the major beneficiary of the risk-off sentiment, with the greenback gaining ground against most of its major counterparts.

The escalating tensions between the US and Iran have led to a surge in demand for safe-haven assets, pushing the USD higher and causing significant volatility in the market. The Japanese yen also saw strong gains as investors sought refuge in the currency amid the heightened geopolitical risks.

Meanwhile, the Canadian dollar took a hit as oil prices surged on fears of supply disruptions in the region. The loonie, which is closely tied to the price of oil, weakened significantly as a result.

In other news, the Australian dollar continued to struggle as concerns about the impact of the bushfires on the country's economy weighed on the currency. The ongoing crisis has led to a decline in consumer confidence and a slowdown in economic activity, putting pressure on the Aussie dollar.

Looking ahead, traders will be closely monitoring developments in the Middle East and their impact on the FX market. Any further escalation of tensions could lead to more volatility and big moves in the currency markets.