FX.co ★ Dollar Set for Weekly Gain Amid Easing Trade Tensions

The US Dollar Index remained above the 100 mark on Friday and appeared poised for a second consecutive weekly gain. This uplift was primarily due to diminishing global trade tensions, which have alleviated concerns about a looming recession and subsequently bolstered confidence in the currency. China revealed it is considering the prospect of trade discussions with the United States, following several diplomatic efforts initiated by Washington. Earlier in the week, President Donald Trump suggested the potential for trade agreements with nations such as India, Japan, and South Korea, and voiced optimism regarding a possible accord with China. Concurrently, recent data on GDP, private payrolls, and weekly jobless claims indicated a slowdown in US economic activity. This has reinforced market expectations for imminent interest rate cuts by the Federal Reserve, thus tempering the dollar's ascent. Investors are now shifting their focus to the forthcoming April jobs report, which could offer further insights into the economic impact of evolving trade policies.