Iran's Stance Raises Concerns Over Hormuz Strait Closure and Economic Impact

Iran's newly appointed Supreme Leader, Mojtaba, has delivered his first public speech, asserting that the Strait of Hormuz should remain closed. According to Ming Pao, this stance has heightened market concerns about potential prolonged conflicts, leading to elevated crude oil prices and increased inflationary pressures on the economy. The U.S. Dollar Index has reached its highest level since November 25 of last year, while the yield on two-year U.S. Treasury bonds has surged to its highest point since August of last year. If oil prices remain high, the U.S. Dollar Index may test the 100 resistance level in the short term.