Central banks will be in the spotlight again this week, with Thursday's meeting of the European Central Bank (ECB), its last before the summer break: it is not expected to "move", and this will not encourage currency traders to shed the Euro this summer.

Instead, they will be looking to Christine Lagarde's words for new indications of the possibility of a further rate cut in September.

In the absence of market movers on Monday (no figures from either Europe or the US), the Dollar remained completely frozen for a long time ('$-Index' at 104.08), before starting a timid +0.15% advance towards 104.25 after the US markets reopened.
The Euro reversed course at the end of the day: it clawed back 0.1% towards $1.0920, ending the day down -0.1% towards $1.0895.
The pound lost -0.2% against the greenback, as did the yen ($157.95/$145) and the Swiss franc ($0.8960).
Note the clear strengthening of the Yuan against the Dollar (+1.7% to 7.1290) despite mediocre growth figures and GDP slowing to +4.7% y-o-y: this means that, with the opening of the Communist Party plenum, currency traders are not expecting strong stimulus measures or aggressive rate cuts.

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