USD/JPY Holds Near 159.60s Amid Ongoing Strait of Hormuz Tensions

The US Dollar is maintaining its safe-haven status as tensions around the Strait of Hormuz continue to escalate. The Greenback is favored over the Japanese Yen, keeping USD/JPY supported despite the geopolitical risks.

US President Donald Trump's recent social media post hardened the tone, stating that there are no talks or conversations scheduled with Iran and that the US naval blockade remains in full force. He also claimed that the Strait of Hormuz is 'open and operating' and that all water mines had been removed or detonated.

The data picture was mixed, with US Building Permits for July beating expectations at 1.443 million, but Housing Starts slipping to 1.239 million, missing forecasts and falling from the prior month.