A quiet one on the agenda in Europe today

The dollar is a little higher at the balance today, helped by Trump making his first push on tariffs already. From earlier: Trump threatens a 25% tariff on Mexico and Canada

The yen is sitting a little higher though, with USD/JPY a touch softer after the gap lower yesterday. The pair did fill the gap already but is still down 0.6% on the week now at 153.82. A potential BOJ rate hike to consider for next month and lower Treasury yields this week are key drivers in play for now.

But the big mover today among the majors is the Canadian dollar. The loonie is hammered lower after Trump’s tariffs threat above, with USD/CAD now put under the microscope as price threatens a clean break of the 1.4100 mark.

Looking to the session ahead, trading sentiment will continue to revolve around that given little else to work with. Traders will have to start thinking about further Trump-induced volatility events as we revisit the good ol’ times from 2016 to 2020. Ranging from “China!” to “covfefe”, you never know what you’re going to get and what may move markets.

1100 GMT – UK November CBI retailing reported sales

That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.

This article was written by Justin Low at www.forexlive.com.