The dollar is looking strong this morning, benefitting from a weak pound. US-China trade tensions continue, as the US Trade Representative’s office reaffirmed President Trump’s decision to add an additional 5% tariff on $300 billion worth of Chinese imports, staring on September the 1st.
Treasury chief Steven Mnuchin has said that further talks between the two nations will take place, but has not confirmed whether the previously planned September meeting will go ahead.
Today, GDP data will be released for the US. If this comes in worse than expected, it could reinforce fears of an impending recession, especially considering the inversion of the yield curve. However, the data is expected to show a 2% growth rate.
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