Pip Diddy

The U.S. currency made a bit of a comeback against most of its rivals on signs that the Trump administration could either temper or delay their proposed increase in tariffs.

Directional movement and volatility were both in short supply during today’s morning London session, with many currency pairs trading sideways in tight ranges. The Swissy is worth noting, though, since the Swissy was broadly lower for the session.

Asian markets felt the ripple of Gary Cohn’s resignation as high-yielding bets were sold. Meanwhile, a disappointing GDP report dragged the Aussie even lower.

Market watchers remained hopeful that Trump could temper his tough talk on tariffs for the most part of the New York session. However, a plot twist emerged when top economic adviser Gary Cohn announced his resignation.

The risk-on vibes and commodities rally gave the comdolls a boost. Meanwhile, positive developments in North Korea and the risk-on vibes weakened JPY and rumors of the E.U.’s plans to slap tariffs on U.S. imports apparently weakened USD.

The previous session’s risk-friendly theme carried over to the Asian session and pushed high-yielding currencies higher.

U.S. President Trump’s plans to impose higher tariffs on steel and aluminum imports encountered some pushback from politicians and business owners, easing fears that a trade war could ensue.

The pound found buyers before and after the U.K.’s services PMI report was released. The Loonie, meanwhile, was initially mixed but found sellers across the board late into the session when Trump woke up and began tweeting.

President Trump and Fed Governor Powell dominated headlines and the dollar’s price action last week. Will economic reports become the biggest movers this week?

Though the Loonie reacted to Canada’s reports, it was Trump’s updates that REALLY hurt the comdoll last week. What are possible catalysts for the currency this week?