Dollar retreats on hopes for debt ceiling deal
A more risk-supportive tone is evident across currency markets this morning after Treasury Secretary Yellen said debt ceiling negotiations were making progress. Speaking on the sidelines of the G7 finance minister meeting in Japan, she said “I’m hopeful. I think the negotiations are very active. I’m told they have found some areas of agreement”. Treasury yields and equity futures are up, and most major currencies are advancing against the dollar. The cadence of economic events will slow this week, with a string of central bank speakers competing with second-tier data releases in Europe and Asia for market attention. Today’s Federal Reserve...