Although the United States (US) market was on holiday yesterday in conjunction with Veteran's Day, financial market movements at the beginning of the week remained lively.
The US dollar is seen as still maintaining its strengthening momentum driven by the sentiment of Donald Trump's victory last week in the 2024 presidential election.
Most other major currencies in the market are traded under pressure from the strengthening of the US dollar and the situation is expected to continue.
The euro sank to a 7-month trading low as investor concerns grew over the risk of tariffs by the new White House administration that would likely have a negative impact on the European zone economy.
As previously warned, Trump will impose tariffs on goods against countries that have turned away from the US dollar before, with the biggest target being China.
Malaysia is also no exception to the risk of Trump's tariff hike.
Analysts began to recall the period of Trump's administration in the previous term with the events of the 'US-Sino' trade war that lasted for quite a long time, where both countries reciprocated tariffs on each other.
Therefore, investors are warned to be careful with the tariff event that will happen again after this.
For economic data, the focus this week will be on the US inflation data that will be published on Wednesday.
In today's European session (Tuesday), the focus will be first on the UK jobs report which will be a new indication to the central bank of England (BOE) after implementing interest rate cuts last week.
The commodity market was also affected at the beginning of the week, seeing the price of gold and crude oil fall significantly.
Meanwhile, crypto stole the attention of investors as the current value of Bitcoin has reached a recent all-time high of $89,000.
