US-Chinese commercial optimism and the US employment report



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The dollar hit a three-week high against the yen on Friday, driven by expectations that an extended trade dispute between the United States and China would be settled quickly.

The greenback gained about 0.85% against its Japanese counterpart this week, also thanks to factors such as the strength of US economic data and the strong improvement in risk appetite.

The trade war between the world's two largest economies has been a major distraction for the financial markets over the past year, with riskier badets particularly concerned about concerns over widening activity and growth.

US President Donald Trump said Thursday that the two countries were about to conclude a trade agreement that could be announced by four weeks.

On the economic front, investors will have the opportunity to gauge the health of the world's largest economy when the US March employment report is released at 12:30 GMT.

"Emphasis is placed on the strength of the earnings component of the employment report, a high wage result would highlight robust private consumption and accelerate the rebound in Treasury yields, which would also allow dollar / yen to test new highs, "said Junichi. Ishikawa, senior currency strategist at IG Securities in Tokyo.

The dollar continued to grow and reached 111.80 yen, its highest level since March 15th.

The euro remained stable at $ 1.1223, capped sharply after data released on Thursday showed that German industrial control had fallen in February.

The pound was almost flat at $ 1.3074 after a 0.7% loss overnight.

The pound slipped on Thursday, marking the start of a three-day straight streak, as worries grew as to the possibility that Britain is heading for a late Brexit delay.

Britain could ask the European Union a long delay on Brexit next week if the crisis talks between the government of Prime Minister Theresa May and the opposition Labor party fail to find a way out of the stalemate on the divorce of the European Union.

The dollar index versus a basket of six major currencies remained unchanged at 97,300 after rising 0.2% the previous day.

The Australian dollar was a little higher at $ 0.7120.

The currency rose about 0.3% this week as signs of progress in the US-China trade dispute led to higher risk badets and commodity prices.

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