As previously warned, investors should not rejoice too early as tensions in the market begin to ease.
Market sentiment has turned around as reports suggest that President Donald Trump is signaling that negotiations with China are going well and tariffs on the Great Wall nation will be lowered.
However, the news from China is different.
China has announced that there are no ongoing negotiations with the United States (US).
China's Ministry of Commerce has said that trade negotiations with the US are 'groundless and have no factual basis'.
Beijing has urged the Trump administration to rescind its unilateral tariffs against them if the US really wants a solution to the trade negotiations.
The US dollar is at risk of weakening again if market sentiment is again considered risky heading into the end of this week.
The US dollar's strengthening momentum that was displayed for 2 consecutive days began to fade on Thursday as the development of US-China negotiations is still being monitored.
Focusing on yesterday's New York session trading, US jobless claims came in at 222,000 last week as expected.
The focus today (Friday) will be on UK retail sales data with a weaker reading expected for March.
In New York, Canadian retail sales data will follow, also expected to be dismal as Canada continues to be squeezed by Trump's tariff pressure.
