News: FOREX-Dollar dips as European manufacturing data in focus

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    The dollar was modestly weaker against the euro on Monday as investors focused on European manufacturing data due on Thursday for signs that growth in the region is improving.

    "The pace of deterioration in that part of the world has begun to ebb and I think investors are waiting for more concrete signs that we may have passed the worst," said Mazen Issa, senior FX strategist at TD Securities in New York.

    Improving European data would likely bolster risk appetite and send equities prices higher. That in turn could be negative for the greenback as investors chase higher yielding opportunities elsewhere.

    "The dollar has shown a fairly strong relationship with relative equity prices for the U.S. versus the rest of the world, and to the extent that we move into an environment where non-U.S. asset markets begin to perform ... we may see a tactical move lower in the dollar," Issa said.

    Although the dollar tends to underperform when risk appetite grows, data on Friday showed speculators bolstered their net long dollar position in the latest week. It's now at its highest level since December 2015, while traders remain short the euro.

    Data on Friday showing that China's exports rebounded in March while new bank loans rose more than expected helped boost risk appetite on Monday.

    Investors are also focused on U.S.-China trade talks, with any deal between the two countries seen as likely to remove headwinds to global growth.

    U.S. Treasury Secretary Steven Mnuchin said on Saturday a U.S.-China trade agreement would go "way beyond" previous efforts to open China's markets to U.S. companies and hoped that the two sides were "close to the final round" of negotiations.

    U.S. negotiators have tempered demands that China curb industrial subsidies as a condition for a trade deal after strong resistance from Beijing, according to two sources briefed on discussions, marking a retreat on a core U.S. objective for the trade talks.

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    	Currency bid prices at 9:33AM (1333 GMT) 
    
     Description	  RIC		 Last		   U.S. Close  Pct Change	 YTD Pct	 High Bid	Low Bid 
    											  Previous				   Change				  
    											  Session											
     Euro/Dollar	  EUR=		$1.1305		$1.1301	 +0.04%		 -1.43%	  +1.1321	 +1.1296 
     Dollar/Yen	   JPY=		112.0500	   112.0000	+0.04%		 +1.62%	  +112.0900   +111.8900 
     Euro/Yen		 EURJPY=	 126.70		 126.56	  +0.11%		 +0.38%	  +126.7800   +126.4900 
     Dollar/Swiss	 CHF=		1.0031		 1.0022	  +0.09%		 +2.21%	  +1.0032	 +1.0010 
     Sterling/Dollar  GBP=		1.3114		 1.3081	  +0.25%		 +2.80%	  +1.3119	 +1.3067 
     Dollar/Canadian  CAD=		1.3307		 1.3320	  -0.10%		 -2.42%	  +1.3347	 +1.3297 
     Australian/Doll  AUD=		0.7176		 0.7171	  +0.07%		 +1.80%	  +0.7182	 +0.7164 
     ar																							  
    
     Euro/Swiss	   EURCHF=	 1.1343		 1.1324	  +0.17%		 +0.79%	  +1.1346	 +1.1325 
     Euro/Sterling	EURGBP=	 0.8620		 0.8636	  -0.19%		 -4.05%	  +0.8649	 +0.8619 
     NZ			   NZD=		0.6759		 0.6760	  -0.01%		 +0.63%	  +0.6782	 +0.6758 
     Dollar/Dollar																				   
    
     Dollar/Norway	NOK=		8.4863		 8.4869	  -0.01%		 -1.76%	  +8.5010	 +8.4807 
     Euro/Norway	  EURNOK=	 9.5970		 9.5918	  +0.05%		 -3.11%	  +9.6164	 +9.5856 
     Dollar/Sweden	SEK=		9.2469		 9.2691	  -0.16%		 +3.16%	  +9.2753	 +9.2437 
     Euro/Sweden	  EURSEK=	 10.4580		10.4750	 -0.16%		 +1.89%	  +10.4795	+10.4569                    
 
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