The U.S. Dollar stayed in mostly tight ranges, managing to sustain its gains from being a safe-haven in the past few days as market watchers digested news of more trade tariffs.
Additionally, Chinese officials have asked to restart negotiations, which has been a welcome sign across global markets that perhaps the commercial conflict can be resolved.
It is clear that the steady flow of economic data in recent times has helped the greenback stay afloat and likely the week will close relatively positive because of PPI and Consumer Price Index figures reaching expected levels of advancement last month. Inflation and productivity remain consistent for the second quarter in a row.
We shall see if any headlines from the NATO summit get in the way of FX low-volatility at the moment. Main thing to note would be Mexican Peso strengthening lately that has lifted it to its best level against the buck since start of May.
The Euro did not see much action as CPI numbers showed very little growth in Germany and France. Current lacks of major headlines, other than related to NATO, are keeping the Euro subdued. The shared currency is seeing wilder fluctuation paired against commodity-based currencies as they have been affected more by the prospect of trade barriers.
The Pound is still under pressure after the release of a white paper explaining the Brexit strategy moving forward with a different cabinet in the administration. British Prime Minister Theresa May has defended the idea of maintaining a closer relationship with the EU and slowing down the process of a full absence from EU institutions.
Pro-Leave hardliners from the Conservative party are furious with the abandonment of a full-exit agenda that would seek no payments or involvement with Brussels. It is possible that May could still be forced out of her role, but we shall see if any possibility for snap elections develops if Tories really seek ouster.