The US dollar remained weak in the New York session yesterday following Monday's trading pattern.
However, the market was wary of market sentiment that was reassessed as risky when China announced new tariffs on the United States (US) of 15% on coal and liquefied natural gas and 10% on US crude oil and other goods.
This is retaliation for President Donald Trump who announced tariffs on China including Mexico and Canada last weekend.
Earlier in the week, Trump agreed to suspend Canadian and Mexican tariffs for 30 days following the Canadian Prime Minister immediately announcing retaliatory tariffs on the US.
In the New York session yesterday, investors looked at the US JOLTS employment data report which measures the number of jobs offered for December.
The figure recorded missed expectations, slowing to 7.6 million compared to the forecast of 8.01 million.
This is a bad sign for the assessment of the US labor sector before the next indicators will be observed in the ADP and NFP data.
Also to follow is the US services PMI data from the ISM survey with the figure expected to remain above the 50-point mark after the same reading for the manufacturing sector was published excellently on Monday.
The weakening US dollar is giving other major currencies an advantage to return to trading and recover.
Further developments in the tariff war will continue to be monitored as it is the main factor driving the current market movement.
