Markets & Finance News

* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh (Updates to U.S. stock market close)

The dollar rose on Monday, including against major currencies such as the euro and Swiss franc, as investors focused on the fiscal stimulus plan in the United States and U.S.-China tensions ahead of key trade talks this week. The greenback rose to one-week highs against the euro and Swiss currency. The dollar index also recouped some losses from July when it fell 4%. Friday's data on the non-farm payrolls report calmed fears about the U.S. labor market, but the dollar still posted its seventh straight weekly decline. After talks in Washington over the next round of fiscal stimulus broke down, U.S. President Donald Trump signed executive orders on Saturday, partially restoring enhanced unemployment payments to millions of jobless Americans. "We didn't get the deal done in Capitol Hill last week, but President Trump was able to sign those executive actions. So we're getting some stimulus, but not enough," said Ed Moya, senior market analyst at OANDA in New York. "Right now, you'll probably going to see a little more consolidation this week of the big FX moves. But the longer-term outlook continues to be great on the euro, so you'll see people buying on dips," he added. In afternoon trading, the euro fell 0.3% against the dollar to $1.1746, while the U.S. currency gained 0.3% versus the Swiss franc to 0.9152 franc. Against the yen, the dollar was little changed at 105.93 yen. Overall, the dollar index was up 0.2% at 93.56. Shaun Osborne, chief FX strategist at Scotiabank in Toronto, said he believes the dollar will remain weak in the medium term but not collapse. He sees the possibility of a short-term correction or at least moderation. "We think the fundamental backdrop that has provided support for the U.S. dollar in the past two years is turning more adverse and investors will continue to seek better economic prospects or returns in non-U.S. dollar markets in the coming months," Osborne wrote in his latest research note. Speculators increased net short dollar positions in the latest week, according to weekly futures data on Friday. The dollar's strength at the end of last week was also due to escalating tensions between the United States and China, with the U.S. imposing sanctions on top Hong Kong and Chinese officials. This continued to drive investors towards the safe-haven dollar on Monday. China imposed sanctions on 11 U.S. citizens, including legislators. Senior U.S. and Chinese officials will meet via teleconference on Saturday to review the implementation of their Phase 1 trade deal and likely air mutual grievances. ======================================================== Currency bid prices at 2:51 PM (1851 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1745 $1.1786 -0.35% +4.77% +1.1801 +1.1741 Dollar/Yen JPY= 105.9300 105.9100 +0.02% -2.69% +106.1900 +105.7200 Euro/Yen EURJPY= 124.44 124.83 -0.31% +2.04% +124.8800 +124.3700 Dollar/Swiss CHF= 0.9152 0.9123 +0.32% -5.44% +0.9184 +0.9122 Sterling/Dollar GBP= 1.3069 1.3051 +0.14% -1.43% +1.3103 +1.3020 Dollar/Canadian CAD= 1.3353 1.3383 -0.22% +2.83% +1.3394 +1.3333 Australian/Doll AUD= 0.7151 0.7157 -0.08% +1.85% +0.7183 +0.7141 ar Euro/Swiss EURCHF= 1.0751 1.0754 -0.03% -0.93% +1.0792 +1.0748 Euro/Sterling EURGBP= 0.8986 0.9030 -0.49% +6.29% +0.9038 +0.8979 NZ NZD= 0.6588 0.6602 -0.21% -2.20% +0.6611 +0.6579 Dollar/Dollar Dollar/Norway NOK= 9.0331 9.0387 -0.06% +2.90% +9.0685 +8.9980 Euro/Norway EURNOK= 10.6085 10.6618 -0.50% +7.83% +10.6884 +10.6023 Dollar/Sweden SEK= 8.7476 8.7452 -0.36% -6.42% +8.7628 +8.7152 Euro/Sweden EURSEK= 10.2758 10.3132 -0.36% -1.85% +10.3220 +10.2711 (Reporting by Gertrude Chavez-Dreyfuss; Editing by Nick Zieminski and David Gregorio)

Turkish President Tayyip Erdogan said on Monday he hopes market interest rates will fall further in order to make investments in the country easier.

* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh (Updates prices, comment; changes dateline; previous LONDON)

Turnover in London, the world's biggest currency trading hub, declined 16% in the six months to April, led by a 30% slump in pound trading, the Bank of England said on Monday.

The dollar gained against some currencies on Monday, such as the euro and Swiss franc in generally choppy trading, as investors focused on fiscal stimulus in the United States and U.S.-China tensions ahead of key trade talks on Aug. 15. The greenback rose to one-week highs against the euro and Swiss franc. The dollar index, however, traded little changed. It has recouped most of its losses in July when it fell 4%, after Friday's data calmed some fears about the U.S. labour market but still weakened on the week, for the seventh in a row. After talks in Washington over the next round of fiscal stimulus broke down, U.S. President Donald Trump signed executive orders on Saturday, partially restoring enhanced unemployment payments to tens of millions of jobless Americans. "We didn't get the deal done in Capitol Hill last week, but President Trump was able to sign those executive actions. So we're getting some stimulus, but not enough," said Ed Moya, senior market analyst at OANDA in New York. "Right now, you'll probably going to see a little more consolidation this week of the big FX moves. But the longer-term outlook continues to be great on the euro, so you'll probably see people buying on dips," he added. In mid-morning trading, the euro fell 0.1% against the dollar to $1.1770, while the U.S. currency gained 0.2% versus the Swiss franc to 0.9143 franc. The Swiss National Bank sight deposits rose in the week ending Aug. 7. A rise in sight deposits can indicate central bank intervention in foreign exchange markets to weaken the franc. Against the yen, however, the dollar slipped 0.1% to 105.84 yen. Overall, the dollar index was flat to slightly higher at 93.43. Speculators increased their net short dollar positions in the latest week, according to weekly futures data on Friday. The dollar's strength at the end of last week was also due to escalating tensions between the United States and China, with the U.S. imposing sanctions on top Hong Kong and Chinese officials. This continued to drive investors towards the safe-haven dollar on Monday. China imposed sanctions on 11 U.S. citizens, including legislators. Prominent democracy activist, Hong Kong media tycoon Jimmy Lai, was arrested on Monday under China's new national security law in the territory, while U.S. health chief Alex Azar visited Taiwan on Sunday - a trip condemned by China which claims the island as its own. Senior U.S. and Chinese officials will meet via teleconference on Saturday to review the implementation of their Phase 1 trade deal and likely air mutual grievances. ======================================================== Currency bid prices at 10:38AM (1438 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1771 $1.1786 -0.13% +5.00% +1.1801 +1.1741 Dollar/Yen JPY= 105.8100 105.9100 -0.09% -2.80% +106.1900 +105.7300 Euro/Yen EURJPY= 124.55 124.83 -0.22% +2.13% +124.8800 +124.5500 Dollar/Swiss CHF= 0.9142 0.9123 +0.21% -5.54% +0.9184 +0.9122 Sterling/Dollar GBP= 1.3089 1.3051 +0.29% -1.27% +1.3103 +1.3020 Dollar/Canadian CAD= 1.3346 1.3383 -0.28% +2.77% +1.3394 +1.3333 Australian/Doll AUD= 0.7171 0.7157 +0.20% +2.14% +0.7183 +0.7141 ar Euro/Swiss EURCHF= 1.0764 1.0754 +0.09% -0.82% +1.0792 +1.0753 Euro/Sterling EURGBP= 0.8991 0.9030 -0.43% +6.35% +0.9038 +0.8986 NZ NZD= 0.6597 0.6602 -0.08% -2.06% +0.6611 +0.6579 Dollar/Dollar Dollar/Norway NOK= 9.0159 9.0387 -0.25% +2.71% +9.0685 +8.9980 Euro/Norway EURNOK= 10.6143 10.6618 -0.45% +7.89% +10.6884 +10.6047 Dollar/Sweden SEK= 8.7291 8.7452 -0.35% -6.60% +8.7628 +8.7152 Euro/Sweden EURSEK= 10.2770 10.3132 -0.35% -1.84% +10.3220 +10.2711 (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Elizabeth Howcroft in London Editing by Nick Zieminski)

Sri Lankan shares recorded their worst session in nearly a month on Monday, dragged down by financial and industrial stocks.

* Chinese data stokes bode well for global recovery - analysts

* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E (Updates prices, adds commentary and graph)

Emerging market stocks and currencies traded in a tight range on Monday as worries remained about worsening Sino-U.S. ties, while signs of improvement in China's industrial activity helped calm some nerves.