US Launches New Trade Investigation Into Vietnam Over Intellectual Property Concerns 
Wall Street Hits New Highs as U.S.-Iran Ceasefire Talks Boost Market Sentiment 
Dollar Gains Slightly as U.S.-Iran Tensions Keep Forex Markets on Edge 
Gold Prices Hold Near Record Levels as Inflation Concerns Offset Middle East Ceasefire Hopes 
Asian Currencies Steady as U.S.-Iran Ceasefire Extension Hopes Weigh on Dollar 
Oil Prices Fall as Markets Await U.S.-Iran Peace Deal Decision 
Canada and Germany Advance Major LNG Supply Partnership 
Rice feeds billions of people – but its role in fueling climate change is growing 
Tokyo Inflation Cools in May, Supporting BOJ’s Cautious Rate Hike Path 
Macquarie Names Five Taiwan AI Stocks Set to Benefit From Data Center Growth in 2026 
Iran-U.S. Nuclear Talks Remain Unresolved as Strait of Hormuz Risks Keep Markets on Edge 
Wall Street Reaches New Record Highs as AI Boom and Iran Ceasefire Hopes Boost Markets 
Nikkei Hits Record High as AI Chip Stocks Power Japan Market Rally 
Last week, the U.S. Dollar Index (DXY) did well, reaching 11-week highs near 103.8 on Friday. This marked its third straight week of gains. The index went up about 2.71% during the week, thanks to strong U.S. economic reports and a more confident approach from the Federal Reserve regarding interest rates.
The interest rate cut by the European Central Bank (ECB) gave the U.S. dollar some extra support. However, the push for the dollar's increase is still weak. The further upside is capped by a strong appetite for risk and low U.S. Treasury yields. The Japanese yen showed a minor pullback due to the BOJ intervention.
Sterling performed well in the past two days after upbeat UK retail sales. BOE’s policy outlook remains uncertain due to mixed UK economic data. While the Australian dollar showed momentum after upbeat jobs data. The absence of specific actions in China’s recent stimulus plans is still causing pressure on the Australian dollar (Aussie).
The euro was one of the worst performers last week due to ECB monetary policy. During this week's meeting, the European Central Bank lowered its policy rate by 25 basis points to 3.25% and noted that the decline in inflation is progressing as expected. Given the measured comments from the ECB and a sluggish economic environment, we anticipate that the ECB will continue to reduce rates at each meeting until at least next March.
Major economic data to watch this week
BOC monetary policy (Wednesday), US new home sales (Thursday), Eurozone PMI (Thursday), Canada retail sales, and US durable goods on Friday.
