US dollar slips amid Ukraine peace hopes and trade uncertainty - London Business News | Londonlovesbusiness.com
Briefly

The US Dollar has opened the month weak amid rising investor optimism surrounding potential peace talks between Ukraine and Russia, fueled by discussions between the Ukrainian Prime Minister and European leaders. This optimism may decrease the appeal for the dollar as a safe-haven asset. Concurrently, trade uncertainty persists with potential tariff reductions on Canada and Mexico, but a 10% tariff on Chinese goods looms. US Treasury yields remain steady as the market anticipates critical economic data that could impact the Federal Reserve's stance.
The US Dollar started the month on a weaker note as renewed optimism for a resolution to the Ukraine- Russia conflict led investors to adopt a risk-on stance.
This development could reduce demand for safe-haven assets, placing downward pressure on the greenback.
Meanwhile, US treasury yields stabilized, with the 10-year note hovering at 4.2% as market participants eagerly await this week's key economic releases.
Robust data should bolster the Fed's hawkish tone and provide support to yields, while weaker data may fuel dovish expectations.
Read at London Business News | Londonlovesbusiness.com
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