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Message: [QUOTE="Zerologic, post: 240895, member: 126754"] [ATTACH type="full"]31242[/ATTACH] Trump's tariffs overshadow the market, USD strengthens CNH weakens The USDCNH pair at weekend trading drew a bullish candle with a long body and shadows on the top and bottom of the candle. Price formed a high of 7.3304 and a low of 7.2750 closing at 7.3204 on the FXOpen platform. The bullish candle extended previous gains after the pair hit a low of 7.2342 on January 24. It seems that Trump's tariffs are still in the spotlight in financial markets. President Donald Trump's protectionist policies have worried international trade. Canada and Mexico are subject to a 25% tariff, which has caused the CAD and MXN currencies to weaken against the USD. On the other hand, China is subject to tariffs of 10%, although this is much lower than when the Trump campaign threatened to impose tariffs of up to 60%. However, Trump's policies have weakened CNH. Trump's tariffs are expected to take effect on Tuesday, February 4, although economists generally oppose the policy on the grounds that the tariffs could result in higher prices for domestic consumers. The Fed at its final meeting in January finally kept interest rates unchanged as expected, the Fed maintained interest rates at 4.50%. Meanwhile, China's interest rate is currently 3.10% from the previous 3.35% and has experienced a downward trend in 2024. The dollar index (DXY) has risen since January 27 from a low level of 106.969 to now at 108.921. The dollar index is used to track the US dollar against six major currencies. According to the CME group's Fedwatch tool, the Fed is expected to have unchanged interest rates at its March meeting with a probability of up to 82.5%. Today's Chinese Bank Holiday in observance of the Spring Festival may slightly influence Asian markets. On the other hand, investors will focus on US economic data which will be released today, the US PMI is predicted not to change much compared to the previous revision. [/QUOTE]

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