GBP/USD rises by over 0.59% on Wednesday after an Axios report revealed that the US and Iran are closing in on a deal to end the war. The Greenback fell on the news, even though US jobs data crushed estimates, which could prompt the Federal Reserve to focus on inflation.

EUR/USD trades higher on Wednesday as renewed optimism surrounding a potential US-Iran peace deal pressures the US Dollar (USD) and lifts the Euro (EUR).

AUD/USD surges near the 0.7240 price region, supported by improving risk sentiment after Axios reported that the United States (US) and Iran are moving closer to a deal aimed at ending the conflict.

MUFG’s Derek Halpenny notes that renewed hopes for a peace deal with Iran and a sharp drop in Brent crude Oil are pressuring the US Dollar (USD), with risk appetite supported by strong global equities and AI-driven gains.

Cardano (ADA) is extending its early-week rebound above $0.260 at the time of writing on Wednesday, building on improving sentiment in the broader crypto market after the United States (US) signaled a final peace agreement with Iran.

Brown Brothers Harriman’s (BBH) Elias Haddad highlights that USD/SEK has fallen on broad Dollar weakness while Sweden’s April disinflation surprised to the downside, reducing Riksbank hike expectations.

Albert Musalem, President of the Federal Reserve (Fed) Bank of St. Louis, spoke at the Mississippi Bankers Association on Wednesday. He said that uncertainty around tariffs and war are headwind.

EUR/JPY trades around 183.50 on Wednesday at the time of writing, down 0.61% on the day, as the Japanese Yen (JPY) benefits from stronger demand amid fears of intervention by Japanese authorities in the foreign exchange market.

United States EIA Crude Oil Stocks Change came in at -2.314M, above forecasts (-2.8M) in May 1

TD Securities analysts argue the US Dollar (USD) faces asymmetric downside risk around the April US payrolls release.

EUR/GBP trades flat on Wednesday after trimming earlier gains as geopolitical headlines surrounding a potential US-Iran peace deal triggered fresh volatility across the FX market.

BNY highlights a broad Eurozone PMI downturn, with the composite back in contraction and services particularly weak, while producer prices and input costs re‑accelerate. The bank notes markets assume ECB policy cannot diverge much from peers, a view it challenges.

Canada Ivey Purchasing Managers Index s.a came in at 57.7, above forecasts (49.9) in April

Scotiabank strategists Shaun Osborne and Eric Theoret highlights that USD/CAD is little changed as lower Oil offsets improved risk appetite, with the Canadian Dollar (CAD) having seen limited benefit from prior crude gains.

Citing an unnamed source, Iran's Tasnim News Agency reported that Iran has not yet responded to the United States' latest proposal, which contained some unacceptable provisions.

Societe Generale analysts argue that the Japanese Yen remains significantly undervalued versus the Dollar on a purchasing power parity basis, with USD/JPY far above fair value near 95.

USD/CHF declines around 0.7790 on Wednesday at the time of writing, down 0.50% on the day, as the US Dollar (USD) remains under pressure in a more risk-positive market environment.

Derek Halpenny at MUFG highlights that United Kingdom (UK) Gilt yields have jumped sharply, echoing past episodes of political and fiscal stress, with long-end Gilts still elevated versus pre‑2011 levels.

USD/CAD struggles for direction on Wednesday as renewed optimism surrounding a potential US-Iran peace deal pressures the US Dollar (USD), while falling Oil prices weigh on the commodity-linked Canadian Dollar (CAD).

Commerzbank economists Bernd Weidensteiner and Christoph Balz assess how incoming Fed Chair Kevin Warsh could reshape U.S. monetary policy and its implications for the Dollar.

Ripple (XRP) exhibits increasing bullish strength, rising above $1.45 at the time of writing on Wednesday, building on growing risk appetite after the United States (US) paused “Project Freedom,” citing great progress toward a final peace agreement with Iran.

Brown Brothers Harriman’s (BBH) Elias Haddad reports NZD/USD has rebounded toward 0.6000 on broad US Dollar (USD) weakness, nearly erasing war-related losses. New Zealand’s Q1 labour data were mixed, with softer employment but firm wage growth.

The New Zealand Dollar (NZD) appreciates more than 1.5% against the US Dollar (USD) on Wednesday, as rumours that Washington and Iran are close to a peace deal have boosted risk appetite.

United States ADP Employment Change registered at 109K above expectations (99K) in April

Pi Network (PI) is trading in the green on Wednesday, as the broader cryptocurrency market mood improves. The three-day recovery in PI should firmly clear above the 100-day Exponential Moving Average (EMA) at $0.1844 to target the $0.2000 round figure.

ING’s Chris Turner calls Brazil one of his preferred emerging markets, citing strong terms of trade, buoyant equities and expectations of 100bp in rate cuts.

Cryptocurrency prices are broadly rising on Wednesday, building on steadily growing risk appetite, as evidenced by inflows into US-listed spot Exchange-Traded Funds (ETFs). Bitcoin (BTC) is steadily advancing toward the short-term resistance at $82,000, supported by strong buying interest.