Mitsubishi UFJ: The US dollar may continue to rise if safe-haven demand increases

```htmlGolden Ten Data reported on March 27 that Derek Halpenny, an analyst at Mitsubishi UFJ, stated in a report that if capital inflows into safe-haven assets increase due to the Iran conflict, the US dollar may strengthen further. He said: “If we are about to enter a period with higher risk aversion and the stock market experiences larger declines, then we expect the US dollar to strengthen further.” In such a scenario, trade terms and yield dynamics are unlikely to have much influence on currency movements. He noted that in a more severe scenario, if the price of Brent crude oil rises from the current $110 per barrel to a range between $120 and $160 per barrel, and the stock market suffers greater losses, the US Dollar Index might rise to around 105.```