Aussie dollar continues to trade below 64 US cents  

Key Movers

The US Dollar Index (DXY) failed to hold onto its early strength during Wednesday’s session and now drifts near the 99.50 region, reflecting the continued uncertainty around US trade policy and softening of business momentum. US President Donald Trump says that if deals aren’t made, new tariffs could be set for China and other countries in a matter of weeks. US stocks ticked upward as global markets showed relief over signs that the Trump administration could ease up on tariffs. The positive signs also came after Trump backed away from the threat of firing Federal Reserve Chief, Jerome Powell. The S&P 500, Dow Jones and Nasdaq stock indexes all rose by more than 1% by close today. In economic data, the flash S&P Global Composite PMI for April fell to 51.2 from 53.5, suggesting slower overall business activity. While the Manufacturing PMI edged up to 50.7, the Services PMI slipped to 51.4 from 54.4 — highlighting waning demand in the services sector. S&P Global’s Chris Williamson noted that growth momentum is clearly weakening, while inflationary pressure remains, which could pose a challenge to the Federal Reserve’s (Fed) balancing act.