Greenback saw its first weekly rise in 5 weeks following reports on US-China trade talks. The dollar held firm against its rivals.
Market sentiment was slightly boosted on signs of growing optimism in trade talks between China and the United States.
Chinese Vice Premier Liu He will visit the United States on Jan. 30 and 31 for the latest round of trade talks. The aim is to resolve the trade standoff between the world’s two largest economies.
Greenback saw its first weekly rise in 5 weeks following reports on US-China trade talks. The dollar held firm against its rivals.
Further, investors trimmed some of their excessive short bets against it after some weak euro zone data this week.
Going into 2019, weakness in the dollar was a consensus view among currency market traders. The two main reasons were that the U.S. central bank will stop raising interest rates and the economy would slow after a fiscal boost last year.
Against a basket of its rivals, the dollar was broadly steady. However, it was set to rise 0.4% on the week, its biggest weekly rise since mid-December.
START TRADINGForex – Commodities – First weekly rise in 5 weeks for dollar
Market sentiment was slightly boosted on signs of growing optimism in trade talks between China and the United States.
That optimism was evident in the euro/Swiss franc cross which edged higher toward a one-week high at 1.1329 francs per euro.
The pound slipped against the euro, partially trimming some of its overnight gains. Traders wagered on a second referendum vote on Britain’s EU membership.
Pound set for biggest weekly gain vs euro in more than a year on Brexit hopes. The currency has risen about 1.3% against the euro this week, set for its biggest weekly gain since November 2017.
At 1220 GMT, the pound was down 0.4% at $1.2936, having touched $1.30 on Thursday.
Sources: Reuters, Investing, CNN money
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