The dollar index rose by +0.15% due to easing US-China trade tensions. Markets foresee a 99% chance of a -25 bp rate cut at the next FOMC meeting. EUR/USD fell by -0.09% on dovish ECB signals and France’s credit rating cut. German Sep PPI fell below expectations. Swaps predict a 2% chance of an ECB rate cut.

USD/JPY rose by +0.06% as the yen weakened on record Nikkei highs and political uncertainty in Japan. BOJ board member Takata suggested raising policy interest rates. Gold and silver prices surged due to the US government shutdown and trade tensions. Precious metals also benefit from fund buying and geopolitical risks.

Read more at Yahoo Finance: Dollar Edges Higher as US-China Trade Tensions Cool