The dollar was in a weaker position yesterday and is still low this morning, as a report surfaced suggesting that the US is preparing to make a limited, or ‘interim’, trade agreement with China. The agreement would involve delaying and removing some China tariffs. This came after the President Trump announced that he had agreed to delay tariffs on $250 billion worth of Chinese goods as a gesture of “good will.”
However, a senior White House official has since said that the US is definitely not considering an interim deal. Trump, meanwhile, said that he’d “rather get the whole deal done.” China is reportedly looking to narrow its negotiations with the US to focus purely on trade matters, rather than including national security issues also. These issues will be put onto a separate track in an attempt to break the deadlock between the two sides.
After the ECB announced their interest rate plans yesterday, President Trump launched another attack on the Federal Reserve. He once again tweeted to express his anger over their approach to interest rates.
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