Michael Wan, senior FX analyst at Mitsubishi UFJ Financial Group, wrote in a
research note that a resolution to the Middle East conflict still appears
plausible, signs citing of ongoing behind-the-scenes and mediator-led talks.
With US midterms approaching and reported US military ammunition shortages, oil
may not return to the initial conflict highs; if that assumption holds,
oil-sensitive Asian currencies such as the Indian rupee and Philippine peso have
room to outperform from here.
