© Reuters. The U.S. dollar slipped to near a two-week low
Investing.com – The U.S. dollar slipped to near a two-week low on Tuesday after the U.S. and the European Union agreed , easing immediate global trade tensions.
U.S. President Donald Trump reached an agreement with European Commission President Jean-Claude Juncker on Wednesday to expand European imports of U.S. liquefied natural gas and soybeans and reduce industrial tariffs on both sides.
“We had a big day, very big,” Trump said at a joint statement with Juncker at the White House on Wednesday. The two sides had agreed to “work together toward zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods,” he added.
The , which tracks the greenback against a basket of currencies, slipped 0.1% to 93.96 at 1:19AM ET (05:19 GMT). The index touched a fresh two-week low earlier in Asia trading.
“The dollar is broadly weaker against currencies including the Chinese yuan, as trade tensions have eased,” said Yukio Ishizuki, senior currency strategist at Daiwa Securities in Tokyo.
“The United States and the European Union have seemingly declared a truce and hopes are that NAFTA talks and deals with China would be positive as well.”
Meanwhile, Chinese President Xi Jinping in Johannesburg on Wednesday that a global trade war would have no winner, and the people supporting it “will only end up hurting themselves.”
The euro nudged 0.1% stronger to $1.1735 ahead of the European Central Bank’s July meeting due later in the day. The ECB is largely expected to keep policy on hold.
Elsewhere, Japanese government bonds remained in focus ahead of the Bank of Japan’s meeting next week. The pair slipped 0.2% to 110.74, as the yen set to mark its seventh consecutive day of gains against the dollar.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Latest posts by investing.com (see all)
- Forex – Australian Dollar Steady After RBA Decision - June 4, 2019
- Yuan Watchers Say 7 Is No Longer a Sticking Point for China - June 4, 2019
- Fresh Losses Coming for Australian Dollar, Strategists Say - June 4, 2019