US is reported to impose tariffs on $200 billion of Chinese imports in the first half of the week, but at a rate of 10% instead of 25% signaled earlier, which partly explains the limited buying pressure on the USD and a relatively timid risk aversion at the start of a new trading week.
Nevertheless, as the talks between the two countries are at a risk, and fresh mutual tariffs are looming, the dollar may yet receive a decent support from this front down the road as the conflict is far from being resolved. Additionally, the Fed is expected to raise rates later this month, which is another factor for the greenback.
As such, EURUSD could resume the decline after a potential rebound above 1.17. In the coming days, the pair could easily lose the 1.16 figure should the trade tensions escalate further.