US President Donald Trump said late Sunday that a government shutdown is a possibility if the House of Representatives fails to pass a temporary funding bill.
The GBP/USD pair kicks off the new week on a positive move and trades around the 1.2940-1.2945 region during the Asian session, or a four-month high touched on Friday.
President of the Federal Reserve Bank of San Francisco, Mary Daly, said late Sunday that rising uncertainty among businesses could dampen demand in the US economy but does not justify a change in interest rates.
US Commerce Secretary Howard Lutnick said late Sunday that the 25% tariffs on steel and aluminum imports, set to take effect on Wednesday, are unlikely to be postponed, per Bloomberg.
China's Minister of Housing and Urban-Rural Development, Ni Hong, said on Sunday that the country's property sector has shown positive change with market confidence improving.
China on Saturday announced tariffs on some Canadian agricultural goods, retaliating against levies Canada introduced in October and opening a new front in a trade war largely driven by US President Donald Trump's tariff threats, per Reuters.
The AUD/JPY pair experienced a second consecutive day of losses on Friday landing at around 93.30, as sellers maintained control and drove prices lower.
The Dow Jones Industrial Average (DJIA) struggled on Friday, falling to a fresh seven-week low below 42,200 before staging a mild recovery to the 42, 800 region.
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