President Trump said the U.S. will impose a full blockade limited to vessels traveling to and from Iranian ports.

The U.S. Bureau of Labor Statistics reported June CPI -0.4% MoM and +3.5% YoY, both below consensus. The softer prints eased pressure on the Fed to hike this month and trimmed near-term rate-hike odds. Corpay Chief Market Strategist Karl Schamotta said traders pared bets on a July Fed move and the dollar extended overnight losses, with commodity currencies and other rate-sensitive FX broadly weaker.

President Trump told reporters ahead of a meeting with Iraqi Prime Minister Ali Zaidi that the U.S. will sign multiple deals with Iraq and extract large volumes of Iraqi oil, citing the country’s oil potential. He said the agreements would create many jobs for both countries and that U.S. companies would be the primary operators of the extraction. He provided no further details.