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04 March
The Iran conflict could feed a defense boom. Why a rearming world needs more dollars.

The Tell

There are practical reasons for the dollar’s strength in the Iran conflict: There’s a need for many of our top exports

Illustration of Benjamin Franklin's face on a map of Iran over the Iranian flag.
The dollar has pushed higher since the start of the Iran conflict. Photo: Getty Images/iStock

Gold prices have whipped around and Treasurys sold off sharply, yet the dollar has climbed since the start of the Iran conflict.

On the fifth day of hostilities, with no end in sight, investors have been asking a more practical question: What’s the ultimate way to ride out this particular storm? In a world where even safety has a price, the early answer in this conflict seems to be the U.S. dollar.