Dollar Slumps to 3-Month Low as Trade Wars and Iran Sanctions Bite

The US dollar hovered near a three-month low on Wednesday, pressured by escalating global trade tensions and the threat of new sanctions on Iran. Investors are growing cautious as the US faces retaliatory tariffs from key trading partners. At the same time, Washington’s renewed threats to sanction Iranian oil exports have added fresh uncertainty to the market. The combination of these factors has weakened demand for the dollar, pushing it to levels not seen in roughly 90 days. Traders are now watching for any new policy statements that could trigger further moves. Analysts say the currency’s slide reflects growing concerns over the economic impact of prolonged trade disputes and geopolitical risk. No major US economic data is scheduled for release later today, leaving the dollar’s direction in the hands of headline news.