Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexCryptocurrenciesEconomic EventsPress releases

Dollar dips modestly as trade, data in focus

share with twitter share with LinkedIn share with facebook
share via e-mail
1
06/11/2019 | 02:30pm EDT
U.S. dollar notes are seen in this picture illustration

NEW YORK (Reuters) - The U.S. dollar index dropped slightly on Tuesday as investors focussed on the U.S.-China trade war and economic data for signals of growth and whether the U.S. Federal Reserve is likely to cut rates in the coming months.

Risk sentiment improved on Monday, after the United States reached a deal with Mexico on Friday to avoid imposing tariffs on the country.

Ongoing tensions between the U.S. and China and the prospect that U.S. President Donald Trump will look to impose tariffs on Japan and Europe, however, continues to weigh on risk sentiment.

Investors are concerned that trade wars are harming global growth, and increasing the likelihood that the U.S. central bank will need to cut rates to stimulate growth.

Data on Tuesday showed that U.S. producer prices rose for a second straight month in May, though price pressures remained tepid.

“It certainly plays into the dovish Fed story,” said Win Thin, global head of currency strategy at Brown Brothers Harriman in New York.

Consumer Price Index data on Wednesday, which is closely watched by the Federal Reserve, is the next inflation indicator. Retail sales on Friday will also be closely watched for indications on whether tariffs are slowing the economy.

“We know we are in a low inflation environment right now, but the question is what is the U.S. story in terms of growth,” said Thin.

This month's G20 summit will help push U.S-China trade talks forward but no final agreement was expected to be reached there, U.S. Commerce Secretary Wilbur Ross said on Tuesday.

Trump on Monday said he was ready to impose another round of punitive tariffs on Chinese imports if he cannot make progress in trade talks.

He added on Tuesday that Beijing needed to reverse its decision to reject some of the previously negotiated steps on trade.

Trump also accused Europe of devaluing the euro zone's single currency in a series of tweets that also targeted U.S. monetary policy with renewed attacks on the U.S. central bank.

"The Euro and other currencies are devalued against the dollar, putting the U.S. at a big disadvantage," Trump tweeted without offering any evidence. He also slammed U.S. interest rates for being too high.

Interest rate futures traders are pricing in an almost 80 percent chance of a rate decrease at the Fed's July meeting, according to the CME Group's FedWatch Tool.

(Editing by Chizu Nomiyama)

By Karen Brettell

Stocks treated in this article : NASDAQ Comp., DJ Industrial, NASDAQ 100, S&P 500, US Dollar Index
Stocks mentioned in the article
ChangeLast1st jan.
DJ INDUSTRIAL -0.08% 27001.98 Delayed Quote.15.75%
NASDAQ 100 -0.29% 7920.208817 Delayed Quote.23.92%
NASDAQ COMP. -0.30% 8124.183658 Delayed Quote.21.43%
S&P 500 -0.20% 2989.69 Delayed Quote.19.26%
US DOLLAR INDEX -0.30% 98 End-of-day quote.1.36%
share with twitter share with LinkedIn share with facebook
share via e-mail
1
Latest news "Economy & Forex"
04:24aChina says hopes to reach phased trade pact with U.S. as early as possible
RE
04:22aIndia to miss fiscal deficit target by 30-50 bps - sources
RE
04:19aPence to urge Turkey to halt Syria offensive as threat of further sanctions loom
RE
04:19aCEPOL EUROPEAN POLICE COLLEGE : Training officers wanted
PU
04:15aCENTRAL BANK OF PHILIPPINES : Foreign portfolio investment transactions result in net outflows in September
PU
04:12aZimbabwe cancels deal with Transnet JV to recapitalise state rail firm
RE
04:09aUNECA UNITED NATIONS ECONOMIC COMMISSION FOR AFR : The ECA and the CREG are working together in partnership to promote the NTA methodology in measuring the demographic dividend in Africa
PU
04:04aMalaysia, Goldman talking dropping criminal charges over 1MDB
RE
04:04aPEOPLE BANK OF CHINA : Rules for Verification of Standard Debt-based Assets (Exposure Draft)
PU
04:04aPEOPLE BANK OF CHINA : PBC Officials Answer Press Questions on Rules for Verification of Standard Debt-Based Assets (Exposure Draft)
PU
Latest news "Economy & Forex"