U.S. Treasury Secretary reiterates the possibility of a trade agreement, reaffirms strong dollar policy, dollar approaches recent highs, Nasdaq rises over 4%
U.S. Treasury Secretary Becerra mentioned the possibility of major economies reaching a trade agreement and reiterated the strong dollar policy. The dollar approached a recent high, and the Nasdaq rose over 4%. Becerra stated at an International Financial Association event that major economies have the opportunity to reach a significant agreement on trade issues while also paying attention to the appreciation of the euro. The market reacted positively, with all three major U.S. stock indices rising
U.S. Treasury Secretary Janet Yellen mentioned the possibility of major economies reaching a trade agreement for two consecutive days.
On the 23rd, Wednesday local time, at an event held by the Institute of International Finance (IIF) in Washington, Yellen stated that major economies have the opportunity to reach a "significant agreement" on trade issues. She reiterated that the U.S. still has a policy regarding a strong dollar. She noted that the euro has "appreciated significantly."
Earlier during Yellen's speech, according to Securities Times, it was reported on Wednesday that the White House might ease tariff policies.
During Yellen's speech, the three major U.S. stock indices maintained their upward trend, with the Nasdaq rising over 4%, the S&P rising over 3%, and the Dow rising over 2% in early trading.
The ICE Dollar Index (DXY), which tracks the dollar against a basket of six major currencies including the euro, stabilized above 99.50, rising nearly 0.7% during the day, approaching the intraday high of 99.60 reached in early U.S. trading.
The offshore yuan (CNH) rose over 200 points against the dollar during the day, hovering around the 7.2860 level. In early U.S. trading, it briefly broke below 7.28, reaching a daily high of 7.2765, up 357 points for the day.
Before Yellen's speech, some media reported on Tuesday that she indicated in a closed-door meeting that trade relations among major economies would ease in the near future. Negotiations have not yet begun, but reaching an agreement is possible.
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