The Pegs Hold While Hormuz Wobbles: An Evening Wrap with One Eye on the Strait

The closing prints from the Gulf desks tonight are, on their face, the least dramatic numbers you will read all week. USD/SAR sits at 3.7500. USD/AED sits at 3.6725. Both pegs are exactly where they were on Sunday, exactly where they were a month ago, and — for the riyal — exactly where they have been since 1986. In a session whose newsflow included US strikes near the Strait of Hormuz, a senior Emirati adviser publicly warning Europe about Hormuz turmoil, and quiet confirmation that Qatari LNG…