The euro traded with a slightly heavy tone against the dollar in the New York foreign exchange market on the 24th. As of 4:00 p.m., EUR/USD stood at $1.1663, roughly 0.0002 dollars weaker than the $1.1665 level seen at 2:00 a.m. Following a press conference by U.S. Treasury Secretary Bessent, scattered dollar buying emerged despite the muted overall movement, with the pair briefly extending its decline to $1.1655.
The catalyst for dollar buying was a press conference held by Treasury Secretary Bessent the same day. He stated that “any involvement in Iranian money laundering will result in being cut off from access to the dollar” and that “secondary sanctions against Iran could apply to all countries,” adding that he “expects to announce sanctions on major financial institutions within this week.” He further declared the launch of an “Economic Outcast” campaign designed to “cut off all remaining options available to the Iranian regime.”
In response to these remarks, market participants bought the dollar as a safe-haven asset amid heightened geopolitical risk concerns. After the press conference concluded, the decline in U.S. long-term interest rates narrowed, and broad-based dollar buying progressed. EUR/USD briefly touched $1.1657 just before 2:30 a.m., marking a fresh intraday low.
Dollar-yen continued to trade in a narrow range. As of 4:00 p.m., the pair stood at 159.18 yen, approximately 11 sen stronger than the 159.07 yen level seen at 2:00 a.m. While the broad dollar-buying tilt following Bessent’s press conference provided support, the pair failed to test the session high of 159.28 yen and remained confined to the low 159-yen area.
EUR/JPY traded at 185.66 yen as of 4:00 p.m., roughly 11 sen stronger than the 185.55 yen level at 2:00 a.m. Caught between the movements of dollar-yen and EUR/USD, the cross traded within a narrow range between the mid and upper 185-yen level.
Today’s reference ranges are as follows:
| Currency Pair | Low | High |
|---|---|---|
| Dollar-yen | 158.56 yen | 159.28 yen |
| EUR/USD | $1.1655 | $1.1687 |
| EUR/JPY | 185.21 yen | 185.80 yen |
Note: Ranges reflect trading during New York foreign exchange market hours on the 24th.
Treasury Secretary Bessent’s hardline stance on Iran sanctions served as a factor underpinning dollar demand. In particular, his statement that he “expects to announce sanctions on major financial institutions within this week” prompted market participants to adopt a cautious posture as they assess the scope and impact of the financial institutions that may be targeted, leading to a reluctance to sell dollars aggressively.
Meanwhile, the fact that dollar-yen remains stuck in the low 159-yen area suggests that the market continues to weigh the Japan-U.S. interest rate differential and remains wary of potential intervention by Japanese currency authorities. EUR/USD is also showing signs of stabilizing in the upper $1.1650 range, and the pair is likely to remain in a wait-and-see mode pending fresh catalysts in the near term.
