World Lurches Into Fresh Geopolitical Crisis and the Dollar Wins
- Saudi crude shock shows the allure of havens in volatile year
- Policy uncertainty and emerging-market stress boost greenback
One World Trade Center in the lower Manhattan skyline.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
Investors rushing back to risk assets this month just got a reminder of the kind of simmering geopolitical threats out there. That could be good news for the dollar.
The drone strike on one of the world’s biggest oil facilities over the weekend raises the specter of escalating tensions across the Middle East -- exactly the kind of scenario that typically fuels demand for assets denominated in the world’s reserve currency.