Overview
- Reports of explosions and attacks on vessels near the Strait of Hormuz reignited supply fears, lifting crude by roughly 3%–6% and pushing the dollar index to about 99.2.
- The Mexican peso fell to roughly 17.67 per dollar on Wednesday after two sessions of gains linked to President Trump’s suggestion that the war could end soon, with WTI near $88 and inflation risks resurfacing.
- Peru’s sol strengthened further, with BCR data showing the dollar closing at S/3.422 versus S/3.429 on Tuesday, extending Tuesday’s sharp move lower from nearly S/3.50.
- In Argentina, the wholesale exchange rate dropped below $1,400 to $1,396 as the BCRA purchased $86 million; the blue dollar matched the official retail at about $1,415 and financial quotes were narrowly spread.
- Analysts flagged safe-haven demand for the dollar given higher energy costs, and reports indicated the IEA is weighing strategic reserve releases to cushion potential oil supply disruptions.