Facebook Pixel
The dollar is falling, the yuan is recovering amid news of trade negotiations

The dollar is falling, the yuan is recovering amid news of trade negotiations

Avatar
Erik Holm - Head of media

In the morning hours of the European trading session on Thursday, the US dollar depreciated amid a large number of conflicting reports about the upcoming trade talks between the US and China, which should continue in Washington today.

The final settlement of the trade conflict between the two countries seems unattainable after the introduction of mutual sanctions against specific companies this week. However, judging by the reports, both parties may accept some more abridged versions of the agreement in order to mitigate the blow to the economies of the two countries. Due to the trade conflict, the growth rates of both the Chinese and American economies have slowed sharply this year.

By 8:30 London time, the US dollar index, which shows the purchasing power of the dollar against a trade-weighted basket of six major currencies, fell 0.3% to 98.547. The US dollar also fell 0.3% against the official and offshore yuan.

For the first time, the euro exceeded $1.1. By 8:30 London time, the euro rose 0.4% to $1.1041. This happened despite the report on the volume of industrial production on France, which turned out to be worse than analyst's forecasts, as well as data on German exports for August, which also turned out to be worse than forecasts.