[MARKET ANALYSIS] Dollar strengthened on haven demand after US-Iran talks failed and Trump announced a Hormuz blockade

DXY: +0.3%

• Strengthened amid the rise in oil prices and mostly risk-off mood owing to the lack of agreement by the US and Iran in marathon talks over the weekend, while President Trump announced to impose a US naval blockade in the Strait of Hormuz, which is set to begin on Monday at 15:00BST/10:00EDT. This risks flaring up tensions, and he also warned any Iranians that fire against them will be 'blown to hell', but separately commented that the Iran ceasefire is going well.

EUR/USD: -0.3%

• Slipped back beneath the 1.1700 handle amid the firmer buck and with headwinds from rising EU energy prices, while there was little reaction to Hungarian PM Orban's election defeat after 16 years in power, which is seen as a nod to Europe.

GBP/USD: -0.4%

• Struggles to hold on to the 1.3400 status amid pressure in cyclicals and despite reports that UK ministers are to introduce legislation that would allow them to align the UK with new Brussels regulations in areas such as food standards or carbon emissions.

USD/JPY: +0.3%

• Edged higher as it coat-tailed on advances in the greenback and as higher oil prices increase the headwinds for Japan's economy.

Antipodeans: AUD/USD -0.3% / NZD/USD -0.2%

• Declined amid the downbeat risk appetite, although the losses are stemmed by support in AUD/USD and NZD/USD at the 0.7000 and 0.5800 levels, respectively.