Over the weekend, Trump said the dollar was too strong and criticized Fed’s Powell for hiking rates. But the greenback seems to have shrugged-off the President’s comments as he also pointed to the growing economy. Besides, the has already taken a pause in tightening and turned more ‘dovish’.
In a wider picture, the dollar still looks more attractive than the euro as the economic fundamental in the US are more favorable, while the euro zone economy continues to show signals that warrant caution.
Technically, the euro could lose the 1.13 mark in the near term if the upside pressure on the greenback persists. On the other hand, a better risk sentiment over the US-China trade deal caps the selling pressure on the high-yielding euro .