Morning Commentary: Tuesday 1st July

The USD finished the first six months of the year with a 10.8% slide — its worst first-half performance since 1973.

Trump's $3.3 trillion tax and spending bill, currently stirring conflicts with members of the Senate, has raised concerns over the country’s growing deficit.

Tariff negotiations continue, with Trump threatening to impose a fresh tariff level on Japan.

The European Union is willing to accept a trade arrangement with the US that includes a 10% universal tariff on many of the bloc’s exports, but it wants the US to commit to lower rates on key sectors such as pharmaceuticals, alcohol, semiconductors, and commercial aircraft.

• Bitcoin fell 0.7% to $106,871.18

• Ether fell 1.9% to $2,457.03

• Spot gold rose 0.8% to $3,329.92 an ounce

• Crude fell 0.4% to $64.85 a barrel

In the day ahead, Canada observes a bank holiday for Canada Day.

A "Policy Panel" at the ECB is scheduled, with ECB President Lagarde, BOE Governor Bailey, BOJ Governor Ueda, and Fed Chair Powell all speaking.

The US ISM Manufacturing PMI and JOLTS Job Openings will be the main data releases.