Dollar Rises Against Major Counterparts Amid Tariff War

RTTNews | 119 days ago
Dollar Rises Against Major Counterparts Amid Tariff War

(RTTNews) - The U.S. dollar climbed higher against its major counterparts on Thursday with rising worries about the impact of the tariff war between the U.S. and some major trading partners pushed up the demand for the safe-haven currency.

After the European Union said it would impose tariffs on approximately $28 billion worth of U.S. goods in response to U.S. tariffs on steel and aluminum imports, U.S. President Donald Trump warned that he would react with reciprocal tariffs.

Trump later threatened in a post on Truth Social to impose a 200% tariff on all wines, champagnes and alcoholic products coming out of the EU in response to a "nasty" 50% tariff on whisky.

In economic news, a report released by the Labor Department showed initial jobless claims edged down to 220,000 in the week ended March 8th, a decrease of 2,000 from the previous week's revised level of 222,000.

Economists had expected jobless claims to inch up to 225,000 from the 221,000 originally reported for the previous week.

A separate report from the Labor Department said producer prices in the U.S. were unexpectedly flat in the month of February.

The report said the producer price index for final demand was unchanged in February after climbing by an upwardly revised 0.6% in January.

Economists had expected producer prices to rise by 0.3% compared to the 0.4% growth originally reported for the previous month.

The report also said the annual rate of growth by producer prices slowed to 3.2% in February from an upwardly revised 3.7% in January.

The annual rate of producer price growth was expected to dip to 3.3% from the 3.5% originally reported for the previous month.

The dollar index climbed to 104.08 in the New York session, and despite paring some gains as the day progressed, was up nearly 0.25% at 103.86 a little while ago.

Against the Euro, the dollar firmed to 1.0855 from 1.0889. The dollar strengthened to 1.2955 against Pound Sterling.

The dollar weakened against the Japanese currency, easing to 147.82 yen a unit. Against the Aussie, the dollar firmed to 0.6283.

The dollar pared its gains against Swiss franc, easing from CHF 0.8855 to CHF 0.8820, up just marginally from previous close. Against the Loonie, the dollar strengthened against the Loonie, advancing to 1.4441.

read more
Bay Street Likely To Open Lower

Bay Street Likely To Open Lower

Canadian shares look headed for a weak start on Friday due to trade war concerns, although fairly firm crude oil and bullion prices may help limit the market's downside. Data showing an increase in Canadian employment in the month of June and a drop in the unemployment rate may also aid sentiment a bit.
RTTNews | 10 minutes ago
Pound Falls As U.K. Economy Contracts For Second Straight Month

Pound Falls As U.K. Economy Contracts For Second Straight Month

The British pound weakened against other major currencies in the European session on Friday, as the UK economy shrank for the second consecutive month in May, adding challenges to Chancellor Rachel Reeves in achieving her self-imposed borrowing rules.
RTTNews | 18 minutes ago
Pound Falls Against Majors

Pound Falls Against Majors

The British pound weakened against other major currencies in the European session on Friday.
RTTNews | 40 minutes ago
Yen Retreats Amid US-Japan Trade Uncertainty

Yen Retreats Amid US-Japan Trade Uncertainty

The Japanese yen retreated from early highs against other major currencies in the European session on Friday, amid concerns on US-Japan relations in light of Trump's placement of a 25 percent tariff on Japanese exports this week, which will go into force on August 1.
RTTNews | 1h 29min ago
UK Economy Contracts For Second Straight Month

UK Economy Contracts For Second Straight Month

The UK economy shrank for the second consecutive month in May, adding challenges to Chancellor Rachel Reeves in meeting her self-imposed borrowing rules. Gross domestic product fell unexpectedly by 0.1 percent in May, following a 0.3 percent drop in April, data from the Office for National Statistics revealed on Friday.
RTTNews | 1h 59min ago
CAC 40 Down More Than 1% As Trade War Concerns Hurt Sentiment

CAC 40 Down More Than 1% As Trade War Concerns Hurt Sentiment

French stocks are notably lower on Friday, weighed down by losses in automobile and luxury sectors. The mood in the market is a bit bearish, in line with other major markets in Europe, amid renewed worries about tariffs.
RTTNews | 2h 7min ago