🚨🇺🇸🇨🇳 Dollar Under Pressure Amid U.S.-China Trade Tensions
The U.S. dollar continues to weaken as investors react to mixed signals from Washington and Beijing regarding trade negotiations. Treasury Secretary Scott Bessent insists China must take steps to de-escalate, while President Trump claims progress—contradicted by Beijing’s denials.
Safe-haven currencies like the yen and Swiss franc are gaining as uncertainty rises. A slight lift in sentiment followed Trump’s announcement to ease auto tariffs, but markets see little chance of a near-term trade resolution, pointing to a prolonged standoff.
The euro and pound remain strong as investors shift away from U.S. assets. Markets now await a wave of key U.S. economic data, including the jobs report, GDP numbers, and core PCE inflation.
Elsewhere, the Canadian dollar holds steady ahead of election results, while the Australian and New Zealand dollars edge lower.
