The dollar was strong against both the dollar and the euro yesterday, benefitting from the weaker currencies.
Markit flash manufacturing PMI was released for the US yesterday, which rose to 51 in September from a decade low of 50.3 in the previous month. Flash services PMI went up to 50.9 from 50.7 in the previous month, but fell below expectations of 51.3. This was a particularly low reading, with new orders rising least since the survey began in 2009.
In US-China trade news, both sides said the recent talks were constructive and have agreed to keep communicating on issues between now and further face-to-face talks in October. However, the Chinese delegation left Washington early. As a goodwill gesture, they were expected to visit US farmers this week, but reportedly said that they could no longer stay due to a changed travel schedule. This sent mixed signals as to how the well the talks went between the two sides.
Steven Mnuchin has confirmed that talks with resume in two weeks, with himself and US Trade Representative Robert Lighthizer due to meet Chinese Vice Premier Liu He.
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