FX.co ★ Dollar Slips as Markets Eye Trade Talks, Key Data

The US dollar index slightly decreased to around 99 on Monday, paring back gains achieved in the previous session. This shift comes as investors anticipate a week filled with crucial economic reports and trade negotiations. Sentiment was positively affected by renewed optimism surrounding US-China trade discussions. President Donald Trump indicated that representatives from both nations would convene in London later today, following a recent phone conversation with Chinese President Xi Jinping. On the economic data front, markets are poised for several significant releases. The Consumer Price Index is scheduled for release on Wednesday, with the Producer Price Index and the University of Michigan’s consumer sentiment report slated for Friday. These reports could provide new insights into the impact tariffs are having on inflation and the wider economy. The dollar had gained strength on Friday after the jobs report for May revealed employment growth that slightly exceeded expectations, despite other indicators, such as private employment, jobless claims, and services data, suggesting some economic weaknesses.