US Dollar Strengthens As G7 Meeting Continues
From left: European Council President Donald Tusk, British Prime Minister Theresa May, German Chancellor Angela Merkel, US President Donald Trump, Canadian Prime Minister Justin Trudeau, French President Emmanuel Macron, Japanese Prime Minister Shinzo Abe, Italian Prime Minister Giuseppe Conte and European Commission President Jean- Claude Juncker took a picture together at the G7 summit in La Malbaie, Quebec, Canada, Friday (8/6). - Reuters / Yves Herman
The US dollar strengthened while yields fell on Friday (8/6/2018) related to the potential global trade war anniversary following the Group of Seven (G7) Group of Seven meeting in Canada.
US stocks were closed higher, mostly due to improved health services and staple goods.
A number of G7 leaders will meet in Quebec, Canada with US merchants on a furious basis with US President Donald Trump's decision last week to declare tariffs for imports of steel and aluminum from allies such as Canada, the European Union and Mexico.
With ready-to-launch replies, the risk to business confidence raises investor concerns.
"There are so many questions out there, about the fear of the G7 conference and the Trump meeting with North Korea," Thomas Roth, head of Treasury trading at MUFG Securities, told Reuters on Saturday (9/6).
The US and North Korea meeting for the first time will be held on June 12, 2018 in Singapore. The US is trying to pressure Pyongyang to abandon its nuclear weapons program.
Expectations of further US interest rate hikes at the Fed meeting next Wednesday and the prospect that the European Central Bank will lower major monetary stimulus add to market volatility next week.
In recent trading closures, the dollar index rose 0.2% to 93.56. Previously, the index had dropped about 0.7% this week, as well as the worst slump in 10 weeks.
In the face of the yen, the US dollar weakened 0.2% at 109.45 per dollar. Meanwhile, the 10-year tenor yield was at 2.926%, down 0.3 basis points from Thursday (7/6).
Stock investors are seen as ruling out his current concerns, linked to US relations with his biggest trading relationship.
The Dow Jones industrial average rose 75.12 points, or 0.3%, to 25,316.53. In addition, the S & P 500 rose 8.66 points, or 0.31%, to 2,779.03 and the Nasdaq Composite added 10.44 points or 0.14% to 7,645.51.
Meanwhile, the pan-European FTSEurofirst 300 index fell 0.24%, and the MSCI stock level worldwide shrank 0.14%.
Crude oil prices tumbled, weighed by concerns over US output and slumping demand from China.
The price of West Texas Intermediate (WTI) oil fell 0.39 points or 0.59% to US $ 65.56 per barrel. Brent oil, meanwhile, fell 0.86 points, or 1.11 percent, to $ 76.46 a barrel.