|Day's range||19.22 - 19.237|
|52-week range||18.3935 - 20.6501|
US JOLTS Job Openings data came out as 7.449 million over 7.240 million expectations. Mexican Peso soared more than 2% over US-Mexico trade deal. Investors seemed to lose interest over Cable, Euro, and Yen.
Now all investors’ attention again turned to disputes between China and the United States, and markets are hoping for a breakthrough in negotiations after Trump and Xi Jinping meet on the G20 (June 28-29).
Friday’s weak US payrolls have convinced the world that the Fed needs to act, with the weekend news flow centred not just on when the Fed cut, but whether the cuts are front-loaded, with some calls even for a chunky 50bp in the July meeting.
The dollar gained on Monday after the United States and Mexico reached a deal to avoid tariffs, while the euro faltered after sources said European Central Bank policymakers were open to cutting interest rates should economic growth slow. On Friday, Mexico agreed to rapidly expand an asylum program and deploy security forces to stem the flow of Central American migrants to the U.S. border. U.S. President Donald Trump had threatened to impose 5% import tariffs on all Mexican goods starting on Monday if Mexico did not commit to do more to tighten its borders.
Investing.com - The Mexican peso jumped 2% against the U.S. dollar after the U.S. and Mexico agreed on a migration deal to avoid tariffs on Mexican goods.
A flood of companies eyeing Mexico as a safe haven from the U.S. trade war with China risks evaporating after President Donald Trump last week threatened to unleash tariffs on Mexico too. News of Trump's tariff plan has battered the Mexican peso and cast doubt over the future ratification of a new North American trade agreement, a treaty overhauled during months of agonizing talks previously demanded by the U.S. president. Just when companies thought that trade deal had made Mexico a tempting manufacturing alternative to China, Washington's new threats have thrown several off balance again.
The Mexican peso could sink next week to its lowest point of the year if U.S. President Donald Trump follows through on his threat to slap Mexican imports with tariffs, according to a Reuters poll of analysts and traders. The currency has depreciated 2.5% since Trump said last week that he would levy tariffs against Mexican imports unless the country does more to halt migration from Central America. Mexico sent a delegation to Washington to try to avert Trump's threat.
USD/INR declined as RBI cuts interest rates by 25 bps making the repo rate to 5.75%. USD/MXN pair hovered near its monthly high amid rising US tariff concerns. Fiber soars over unchanged Interest rate decision.
Mexico's peso will navigate choppy waters in the near future, away from its recent stability, following U.S. President Donald Trump's threat to impose tariffs on Mexican goods, a Reuters poll showed on Thursday. "The impact on MXN has been an immediate depreciation of over 2%, and given the high uncertainty, we expect volatility to remain high," Scotiabank said in a report. It projected the currency at 20.2390 per dollar in one year.
Emerging market shares and currencies fell on Thursday on renewed growth and trade tensions after U.S. President Donald Trump said not enough progress was being made in talks with Mexico aimed at averting U.S. tariffs on Mexican goods. Currencies were led lower against a weaker dollar by a 0.6% slip in the Mexican peso, which was also hit with a credit ratings downgrade for Mexico by Fitch. Emerging market shares looked set to extend losses over a third session, down 0.2%, with most markets across Asia in the red a day after hopes of a cut in U.S. borrowing rates had provided some support to stocks.
The dollar dipped in Thursday afternoon trade ahead of Friday's U.S. government jobs report, which is forecast to show slowed growth and will inform market expectations of interest-rate cuts in 2019. The U.S. Labor Department's non-farm payrolls report includes public and private-sector employment, both of which are expected to have dropped in May, according to a Reuters poll of economists. A slowdown was evident in the ADP National Employment Report released on Wednesday, which showed private U.S. employers added 27,000 jobs in May, well below the 180,000 forecast in a Reuters poll forecast and the smallest monthly gain in more than nine years.
Asian shares got off to a hesitant start on Thursday as investors feared a looming U.S. trade war with Mexico would further depress global growth, even as they wagered central banks would have to respond with fresh stimulus. "Immigration discussions at the White House with representatives of Mexico have ended for the day. All of which saw the dollar jump 0.9% against a beleaguered Mexican peso.
Investing.com - The Mexican Peso fell on Thursday in Asia after U.S. President Donald Trump said there was “not nearly enough” progress made in the latest discussion between U.S. and Mexican officials.
* Trump threatens tariffs on Mexico over illegal immigration * Mexican peso set for worst day since October * Traders pile on bets on U.S. rate cuts by year-end * Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh (Updates market action, adds quote) By Richard Leong NEW YORK, May 31 (Reuters) - Investors rushed into the perceived safety of the Japanese yen on Friday, with the currency scoring its best day against the dollar in four months, after U.S. President Donald Trump's threat to impose tariffs on Mexico roiled financial markets and stoked recession fears. Taking aim at what he said was a surge of illegal immigrants across the southern border, Trump vowed on Thursday to impose a tariff on all goods coming from Mexico, starting at 5% and ratcheting higher until the flow of people ceases.
The Mexican peso, which has resisted a drip-drip of bad news for months, finally gave way and erased all its gains this year on Friday after U.S. President Donald Trump threatened to slap tariffs on goods exported from Mexico to the United States. In a dispute over migration, Trump said he would introduce punitive tariffs on June 10 if Mexico does not halt the flow of illegal immigration from Central America, battering the currency of Latin America's second-largest economy. It was the deepest drop since Mexican President Andres Manuel Lopez Obrador abruptly canceled a $13 billion airport project in October.
Investors retreated into the perceived safety of Japanese yen on Friday and the Mexican peso plunged after U.S. President Donald Trump's shock threat to slap new tariffs on Mexico, which risked tipping an already struggling global economy into recession. Several different currencies have served as safe havens during the global trade conflict, but the yen has consistently been among the strongest this year, and on Friday investors appeared to opt for the Japanese currency.
U.S. President Donald Trump's threat to slap tariffs on all Mexico imports put the country's peso on track for its worst day in seven months on Friday with global growth worries flaring up, but a surprise ratings upgrade saw Indonesia's rupiah surge 1%. MSCI's emerging market currencies index slipped 0.2% and was on track for its worst monthly fall since the August rout with risk appetite taking a hit after Trump's surprise move on Mexico exacerbated trade worries and dismal China data stoked worries over a slowdown in global growth. The Mexican peso slumped up to 3% to its lowest in five months and has weakened 0.5% this year.
The Mexican peso sank to three-month lows against the dollar on Friday after Washington unexpectedly said it will slap tariffs on all goods coming from its southern neighbor. The safe-haven yen advanced as the Trump administration's move to escalate its trade war with other countries shook already fragile investor sentiment in global financial markets. "The news on Mexican tariffs came just as the United States is imposing tariffs on China, and the timing is stirring up the markets," said Daisuke Karakama, chief market economist at Mizuho Bank.
Investing.com - The Japanese yen rose on Friday in Asia amid safe-haven demand, while the Mexican Peso slumped amid news of unexpected tariffs imposed on Mexican goods.
Investors rushed into the perceived safety of the Japanese yen on Friday, with the currency scoring its best day against the dollar in four months, after U.S. President Donald Trump's threat to impose tariffs on Mexico roiled financial markets and stoked recession fears. Taking aim at what he said was a surge of illegal immigrants across the southern border, Trump vowed on Thursday to impose a tariff on all goods coming from Mexico, starting at 5% and ratcheting higher until the flow of people ceases. Trump's surprise duties on Mexican imports "spurred sharp losses in the Mexican peso and a general risk-off move that strengthened the yen," said Marc Chandler, chief market strategist at Bannockburn Global Forex LLC.
Investing.com - U.S. President Donald Trump’s threats to hike tariffs on Chinese good sent ripples through financial markets on Monday, dampening risk sentiment and boosting safe haven assets.