The Eurodollar edged lower amid mixed inflation data from the United States last week, while markets continued to speculate that the European Central Bank will cut rates in the coming months.
The British pound grew slightly against the dollar after reports suggested the UK was in negotiations with the US to secure exemptions from potentially damaging tariffs.
The USD/JPY increased to a more than three-week peak after Bank of Japan Governor Ueda indicated that rate hikes would continue if inflation remained firm.
Gold prices rallied to a new record high late last week after President Trump roiled the markets with his announcement of 25% tariffs on all imported cars. Bank of America and Goldman Sachs both raised their price targets for the precious metal last week.
U.S. stocks fell sharply as sentiment soured amid mixed US data and further US tariffs. Fears were further stoked by this week’s expected US reciprocal tariffs, which could trigger a deeper trade war.
Crude oil prices rose as the US continued to tighten sanctions against Iran and Venezuela, while US inventories fell, implying stronger oil demand over the previous week.