US index fell below the 89 mark to a 6-week low
The US dollar fell against a basket of major currencies on Monday (March 26), as the strength of the euro (1.2471, 0.0024, 0.19%) and the pound sterling (1.4202, -0.0026, -0.18%) made investors' reluctance to ease trade warfare. Vibration dollar. The US dollar index (88.9688, -0.1039, -0.12%) fell 0.48% to 88.66 points, refreshing the six-week low.
The Wall Street Journal quoted informed sources as saying that China and the United States "have quietly begun negotiations" to improve the U.S. channel for access to the Chinese market.
According to reports, China had considered the requirement of the United States to reduce automobile tariffs, and purchased more semiconductor products from the United States, and allowed US companies to enter China's financial sector more.
This helped ease investor demand for a safe-haven yen, as USD/JPY (105.51, 0.0600, 0.06%) rose 0.47% to 105.23.
In the fear of the trade war, the yen has been one of the most popular safe haven, but some people question the reason behind the move because Japan has not yet obtained the United States exemption from import tariffs on steel and aluminum.
Giles Keating, managing director of the wealth management company Werthstein Institute, said that it would seem strange to me that because Japan will suffer a severe blow and Japan will not be able to get a reduction from steel tariffs, buying a yen.
However, as the pound and the euro continue to strengthen, the pound against the US dollar and the euro against the US dollar are still falling.
The pound rose 0.69% against the US dollar to 1.4229 as traders continue to be affected by a number of positive factors including the recently announced Brexit transition agreement, while the UK’s salary growth accelerated, which also raised the possibility that the Bank of England may raise interest rates at the May meeting. The expectation.
The euro rose 0.84% against the US dollar to 1.2457 and the US dollar against the Canadian dollar (1.2822, -0.0029, -0.23%) fell 0.20% to 1.2870, despite White House trade adviser Peter Navarro's optimistic comments on the NAFTA negotiations.
German Federal Reserve Governor Weidmann said he expects the European Central Bank to raise interest rates by mid-2019. At present, the European Central Bank is still implementing a quantitative easing policy and has not started to raise interest rates from historical lows after the financial crisis.
However, although Weidmann's view differs from the current ECB leadership, he also stated that as long as the goals are the same, diversity within the management committee is a positive thing.