Currency Stress Index — May 2026: 27.0

The Currency Stress Index recorded an average reading of 27.0 throughout May 2026. Early in the month, market tension hit a low of 23 on May 8, partly eased by reports of a potential U.S.-Iran sanctions deal that caused the dollar to retreat. However, ongoing uncertainty surrounding the Iran war and the different effects of oil and gas supply shocks on euro area inflation pushed the index up to a peak of 30 on May 17. Surrounding these events, the dollar faced swings due to rate-hike bets, conflicting Iran deal signals, and risks of currency intervention in Japan. Ultimately, the month was defined by these opposing pressures, keeping the overall average stress level in check.

Scores in this month were computed by the first-generation engine (v1).

Peak 30 on 2026-05-17 · low 23 on 2026-05-08 · locked record · ← April · Currency Stress Index timeline · June → · World Tension, same month

• What the Iran War Tells Us About the Dollar’s Vulnerability Council on Foreign Relations · 2026-05-15
• Dollar retreats on report of U.S.-Iran sanctions deal CNBC · 2026-05-18
• Dollar whipsawed by conflicting Iran deal signals reuters.com · 2026-05-21
• Japan risks Trump’s ire as Iran war fallout sparks currency intervention CNBC · 2026-05-01
• Dollar at six-week high on rate-hike bets, Iran war uncertainty CNBC · 2026-05-20
• Yen nears intervention level; dollar edges higher as Iran conflict weighs on markets CNBC · 2026-05-27
• Dollar higher as US-Iran conflict keeps risk appetite muted reuters.com · 2026-05-04
• COMMENTARY: Trapdoor creaks for dollar if Iran war ends reuters.com · 2026-05-07

• Dollar retreats on report of U.S.-Iran sanctions deal
• Dollar whipsawed by conflicting Iran deal signals
• Dollar slips on hopes of US-Iran deal; yen rises amid intervention buzz
• Dollar drops as optimism grows for U.S.-Iran deal; yen surge ignites intervention chatter