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US' Exit From Iran Deal Will Increase Market Volatility – Investment Strategist

US President Donald Trump announced Washington’s withdrawal from the Iran nuclear deal – formally known as the Joint Comprehensive Plan of Action (JCPOA) – on Tuesday, and vowed to impose “powerful” sanctions against Tehran.
Sputnik

A senior investment strategist at the DeVere Group, a leading international financial advisory firm, warned that the US’ exit from the JCPOA will lead to increased market volatility, according to a press release sent to Sputnik on May 8.

“Investors should expect an increase in market volatility following Trump’s announcement that he is quitting the Iran nuclear deal. There will be global stock market sell-offs as the world adjusts to the news,” the press release cites International Investment Strategist Tom Elliott as saying.

Iran's Revolutionary Guards Slam EU Failure to Make Decision Independent From US
Mr. Elliott went on to say that it’s impossible to accurately predict how individual commodities and other financial assets will be affected by the US’ withdrawal from the deal before Iran shows its hand.

“We will need to wait for the full Iranian response. However, I expect that they will try to continue to appear the reasonable partner and work with Russia and the Europeans, playing them off against the U.S. If they take a more aggressive stance, oil, gold and the dollar will go considerably higher.”  

Russian Foreign Minister Sergei Lavrov said on Wednesday that Moscow is committed to keeping the Iran nuclear deal in place.

READ MORE: Russia Will Remain Committed to Iranian Nuclear Deal — Russian FM Lavrov

Iranian President Hassan Rouhani also expressed support for the continuation of the agreement – which lifted crippling economic sanctions in exchange for restrictions on Tehran’s nuclear program – and said they will continue with the deal with the other five members.

Tehran insists that its nuclear program is only for energy purposes, not weapons development, and says it has complied with the terms of the agreement by granting inspectors access to all of their facilities.  

READ MORE: US Exit From Iran Nuclear Deal Ignites Global Backlash

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