Dollar Softens, Canadian Growth Remains Lacklustre
Amid turbulent month-end flows and a serious tryptophan hangover, the dollar is retreating and volatility expectations are falling as investors bet that Donald Trump’s trade bite won’t match his bark. The greenback looks headed toward its biggest weekly loss in three months after several relatively-moderate cabinet picks – most notably Scott Bessent as Treasury Secretary – helped assuage market fears of a more extremist policy mix in the president’s second term, lowering long-term yields and reducing the risk discount embedded in other major currencies. Equity futures are pointing toward further gains in today’s holiday-shortened session, the ten-year Treasury yield is...