The EUR/USD pair currently trades in the 1.0210 price zone after peaking at 1.0293, its highest in almost a month.
Tensions between the US and China are the latest catalyst for the market’s dismal mood. Nancy Pelosi, the speaker of the US House of Representatives, is expected to meet Taiwan’s President on Wednesday, a high-profile non-programmed visit that China condemns.
Meanwhile, the US yield curve steepened. The gap between the 2-year and 10-year note yields is the widest in over two decades, reflecting the market’s lingering concerns.
On the data front, the calendar has nothing relevant to offer. The EU did not publish macroeconomic data, while the US will release the June JOLTS Job Openings. Also, a couple of US Federal Reserve speakers will be on the wires.