US President Trump: The United States is in final negotiations to end the war with Iran.

GBP/USD rose after Israel and Lebanon agreed to extend a ceasefire and Trump said the US and Iran could reach a deal by the weekend. A Monex Europe analyst said those gains are unlikely to persist. Headwinds for sterling include the ongoing closure of the Strait of Hormuz and its trade impact, a cooling UK labor market, softer inflation prints, and the risk of a leadership challenge to Prime Minister Starmer. The analyst said Friday’s Bank of England policymaker-panel survey and US nonfarm payrolls could reinforce downside pressure on the pound.

US Dollar: 1. US Treasury Secretary Bessant: Inflation will be a short-term fluctuation. 2. Fed Beige Book: US economic activity and inflation have both risen in recent weeks. 3. Goldman Sachs President Waldron: The Fed under Warsh's leadership will primarily focus on balance sheet and inflation issues. 4. Fed—Williams: There is no need to raise or lower interest rates at present. He doesn't think forward guidance is particularly helpful. Logan: Growing concern that a rate hike may be needed later this year. Euro: 1. ECB Executive Board Member Ehrlich: The risk balance has deteriorated significantly. A second round of effects has not yet been seen. 2. Reuters poll: 49 out of 80 economists surveyed expect the ECB to raise interest rates twice in 2026; in the May survey, 34 out of 70 economists held this view. 3. Reuters poll: 74 out of 80 economists surveyed expect the European Central Bank to raise its deposit rate to 2.25% on June 11; in a May survey, 59 out of 70 economists held this view. Japanese Yen: 1. Sources: The Bank of Japan is considering a June rate hike, with further increases possible. 2. Japanese Chief Cabinet Secretary: Specific monetary policy decisions are left to the central bank; the government and the central bank will maintain full communication. 3. Bank of Japan Governor Kazuo Ueda: Our basic stance is to continue raising policy rates based on economic, price, and financial developments. Other: 1. The Central Bank of Tunisia maintained its benchmark interest rate at 7%. 2. The People's Bank of China's reverse repurchase operations resulted in a net withdrawal of 101.3 billion yuan on the day. 3. Swiss National Bank President: The war with Iran could increase pressure on the Swiss franc. 4. Polish Central Bank Governor Grapinski: The inflationary shock is smaller than initially appeared. 5. Deputy Governor of Central Bank Indonesia: Central Bank Indonesia will continue to intervene in the foreign exchange market at a higher intensity. 6. Reserve Bank of Australia Governor Bullock: Inflation is too high, and the Committee will take necessary measures to achieve our mandate of maintaining price stability and full employment.