{"id":852724,"date":"2025-06-01T22:12:04","date_gmt":"2025-06-02T03:12:04","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/01\/dollar-rises-stocks-gain-as-traders-eye-tariff-deals\/"},"modified":"2025-06-01T22:12:04","modified_gmt":"2025-06-02T03:12:04","slug":"dollar-rises-stocks-gain-as-traders-eye-tariff-deals","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/01\/dollar-rises-stocks-gain-as-traders-eye-tariff-deals\/","title":{"rendered":"Dollar Rises, Stocks Gain As Traders Eye Tariff Deals"},"content":{"rendered":"
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\t\t\t\t\tPosted by African Examiner<\/a><\/span><\/p>\n

\t\t\t\t\tBusiness News<\/a>, Latest Headlines<\/a><\/span><\/p>\n

\t\t\t\t\tTuesday, May 6th, 2025<\/span><\/p>\n

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(AFRICAN EXAMINER) \u2013 The dollar rose in Asia on Tuesday, fuelled by hopes for trade deals to avert Donald Trump\u2019s sweeping tariffs, while equities mostly rose as investors await the Federal Reserve\u2019s latest policy decision.<\/span><\/p>\n

Oil also staged a comeback after tanking on news of an output hike by key producers that came despite growing concerns about demand and the outlook for the global economy.<\/span><\/p>\n

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While no agreements have yet been reached with the White House, there is optimism that governments are making progress in averting or tempering the US president\u2019s eye-watering levies, which have sent shivers through world markets.<\/span><\/p>\n

Sentiment was given a lift by US Treasury Secretary, Scott Bessent, who told CNBC that the administration had been approached by 17 countries and offered \u201cvery good\u201d trade proposals.<\/span><\/p>\n

He also said there could be \u201csubstantial progress in the coming weeks\u201d with China, which has been hit with tariffs of 145 percent.<\/span><\/p>\n

Trump has imposed lower duties of 10 percent on goods from most other countries, along with 25 percent levies on specific items like steel, automobiles and aluminium.<\/span><\/p>\n

Hopes for deals have seen Asian currencies rally against the dollar, with Taiwan\u2019s unit up around seven percent this month, while South Korea\u2019s won, the Malaysian ringgit, Indian rupee and Thai baht have also seen healthy gains.<\/span><\/p>\n

The gains have led some to speculate governments are allowing for an appreciation of their currencies as part of negotiations with Washington.<\/span><\/p>\n

\u201cThe factor many talk about is whether these countries with historically \u2018weak\u2019 and heavily managed currencies are now appealing to Trump through the currency channels and are now allowing for an appreciation of the currency as part of the trade negotiations,\u201d said Pepperstone\u2019s Chris Weston.<\/span><\/p>\n

\u201cIf these Asian nations are indeed opting for a currency revaluation, it could be a significant development not just in driving the dollar lower, but also in the trade negotiation process and accelerating the idea of trade deals.\u201d<\/span><\/p>\n

Equities mostly rose, with Hong Kong and Shanghai leading the way as investors returned from a long weekend.<\/span><\/p>\n

Wellington, Taipei, Manila, and Jakarta also rose, though Sydney and Singapore edged down.\u00a0<\/span><\/p>\n

Traders brushed off losses on Wall Street, with the S&P 500 snapping a nine-day winning streak, with film studios hit by Trump\u2019s warning of new tariffs on all films made outside the United States.<\/span><\/p>\n

Focus turns to the Fed\u2019s policy announcement Wednesday, with expectations it will stand pat on interest rates, even as Trump continues to push for more cuts.<\/span><\/p>\n

While data last week showed that the US economy contracted in the first quarter, strong jobs and services sector figures suggest there is still some resilience.<\/span><\/p>\n

\u201cSoft data had baked in a Fed pivot, but the ensuing hard data prints got bond desks slashing their rate-cut tickets,\u201d said SPI Asset Management\u2019s Stephen Innes.<\/span><\/p>\n

\u201cSo long as the real economy hums and fresh levies are expected to spark a second inflation wave, Powell\u2019s hawkish brace stays locked in,\u201d he said in reference to Fed chairman, Jerome Powell.<\/span><\/p>\n

Oil prices rose more than one percent after sinking around two percent Monday following the decision by Saudi Arabia, Russia and six other members of the OPEC+ cartel to boost output by 411,000 barrels a day for June, a month after a similar move had already caused prices to fall.<\/span><\/p>\n

Hong Kong \u2013 Hang Seng Index: UP 0.5 per cent at 22,616.26<\/span><\/p>\n

Shanghai \u2013 Composite: UP 0.7 percent at 3,302.24<\/span><\/p>\n

Tokyo \u2013 Nikkei 225: Closed for holiday<\/span><\/p>\n

Euro\/dollar: DOWN at $1.1308 from $1.1319 on Monday<\/span><\/p>\n

Pound\/dollar: DOWN at $1.3288 from $1.3296<\/span><\/p>\n

Dollar\/yen: UP at 143.81 yen from 143.72<\/span><\/p>\n

Euro\/pound: DOWN at 85.08 pence from 85.10<\/span><\/p>\n

West Texas Intermediate: UP 1.2 percent at $57.83 per barrel<\/span><\/p>\n

Brent North Sea Crude: UP 1.2 percent at $60.92 per barrel<\/span><\/p>\n

New York \u2013 Dow: UP 0.2 percent at 41,218.83 (close)<\/span><\/p>\n

London \u2013 FTSE 100: Closed Monday for holiday<\/span><\/p>\n

AFP<\/span><\/p>\n

Short URL<\/strong>: https:\/\/www.africanexaminer.com\/?p=102435<\/small><\/p>\n


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Posted by African Examiner Business News, Latest Headlines Tuesday, May 6th, 2025 (AFRICAN EXAMINER) \u2013 The dollar rose in Asia on Tuesday, fuelled by hopes for trade deals to avert Donald Trump\u2019s sweeping tariffs, while equities mostly rose as investors await the Federal Reserve\u2019s latest policy decision. Oil also staged a comeback after tanking on<\/p>\n","protected":false},"author":1,"featured_media":852725,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23495,22420],"tags":[6039,7843],"class_list":{"0":"post-852724","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-dollar","8":"category-rises","9":"tag-dollar","10":"tag-rises"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/852724","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=852724"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/852724\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/852725"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=852724"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=852724"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=852724"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}