The USD moves mixed in a quiet trade – Scotiabank

Commerce has begun quietly in the NFP week. Asian and European actions are mixed or a little firmer, but future US actions are slightly down, while the bonds are a bit softer. The US dollar (USD) itself is mixed. The Euro (EUR) and the Swiss Franco (CHF) are a little weaker in the session, while the Japanese yen (JPY) and the sterling pound (GBP) are slightly firmer, but everything is quite marginal, says Shaun Osborne, head of Scotyabank FX strategy.

USD slightly mixed while consolidation extends in the absence of commercial news

“There were no important developments on tariffs over the weekend. American officials continue to indicate that commercial conversations with some Asian countries are advancing, but there are no signals of movement by China. Chinese retailers (Temu, Shein) are significantly increasing prices for US consumers in response to tariff Significant in the supply of the US economy.

“The feeling data of the University of Michigan on Friday showed a slight improvement with respect to preliminary data, probably reflecting the pause in the tariffs of President Trump, but the data remained poor, reflecting a fall in the current feeling and expectations, and a clear increase in inflation expectations that now seems to reflect less a partisan division than a general concern that the tariffs mean that the tariffs mean more. inflation.

“At the same time, Wall St’s concerns about a recession are still evident. Despite the rebound in the shares since the minimum of April, the feeling is still fragile. The profit reports of this week and, in particular, how companies characterize the perspectives can be influential for the feeling of the market in general before the employment data of Friday. The DXY maintains a soft tone, with the recent consolidation Technique just below level 100. A clear thrust above 100 could see the index press up to 102 before better sales arise. “