The dollar was looking strong against the euro and weak against the pound yesterday, with caution regarding trade deal developments capping any gains.
The optimism surrounding the US-China trade talks continues to wane, as uncertainties surrounding the phase one deal surfaced. It is thought that to achieve certain figures promised in the ‘partial’ deal, China will have to lift some tariffs, and would expect the US to reciprocate.
In a speech yesterday, St. Louis Federal Reserve President, James Bullard, said that global trade and other risks remain high for the US economy, which may slow more sharply than expected. He added that any decisions made by the Fed will be on a ‘meeting-by-meeting’ basis.
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