The dollar is strong this morning, holding on to its previous gains against both the pound and the euro. It’s still benefitting from the weakness of both, which are still suffering due to the aftermath of the European elections and the increasing likelihood of a no-deal Brexit.
In US-China trade news, the Chinese media has implied that China may restrict rare earth sales to the US – rare earths being 17 chemical elements used in everything from tech to military equipment. If this were to happen, tensions would escalate further and the chances of agreeing on a deal would possibly look even slimmer.
On Monday, Donald Trump said that Washington was not ready to make a deal with China yet.
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