The United States Dollar strengthened over the last 24 hours, reversing its declines over the previous day. The catalyst was again President Trump who, along with EU President Juncker, agreed to hold off on tariff implementation so that both sides could negotiate a deal. Closer to home, US economic data was mixed with monthly trade balance and headline durable goods orders weaker than expected. This morning, the Greenback opens 0.59% higher at 94.79, against a basket of currencies.
The major headline over the last 24 hours was the ceasefire in on-going trade tensions between the US and EU. While the comments by both presidents after the meeting were vague and unhelpful, a halt on tariff implementation is nevertheless more than the market expected. The positive market sentiment saw equity markets and the EUR appreciate significantly initially, although these were both later reversed due to unrelated announcements. Nevertheless, positivity returned to the market which led to a small recovery for the Greenback.
Closing out the week, attentions turn to US, second quarter GDP figures for direction.