Risk appetite remained supported yesterday and during the Asian morning today, following more sanguine headlines surrounding the US-China trade saga. China revealed a list of US goods to be exempted from tariffs, while US President Trump announced a delay in tariff increases scheduled for October 1st. As for today, the spotlight is likely to turn to the ECB, which decides on monetary policy. Investors will be eager to find out whether the Bank will just deliver a 10bps cut in the deposit rate, or something beyond that.
Risk Assets Continue to Gain on US-China “Goodwill” Gestures
The dollar traded higher against most of the other G10 currencies on Wednesday and during the Asian morning Thursday. It gained the most against JPY, EUR, and CAD in that order, while it lost ground only against AUD and NZD. The greenback was found virtually unchanged versus NOK and SEK.
Despite the Loonie being among the losers, the strengthening of the Aussie and Kiwi combined with the weakening of the yen and franc suggest that market participants continued...
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