"China is making it more difficult," Raimondo told CBS's Face the Nation per Reuters. The policymaker also added that she was very clear with China that they need it as patience is wearing thin among American businesses.

US Commerce Secretary Raimondo cited a lack of a predictable environment and a level playing field as the key catalysts hurting the US business in China. Also acting as the key challenges are unexplained large fines, raids on businesses and changes to a counterespionage law per the news.

The US Diplomat was on a trip to Beijing last week and raised concerns about the American businesses operating in China as she told CNN, "I was very clear, direct and firm in all of my conversations with my Chinese counterparts.”

The policymaker also cited China’s closing down the economy and being more arbitrary in the way they administer regulations as the reasons for the challenging performance of late.

Biden’s Comments

US President Joe Biden also crossed wires during the weekend while showing his disappointment with Chinese President Xi Jinping’s decision to remain absent from he summit of G20 leaders in India.

"I am disappointed ... but I am going to get to see him," Biden told reporters in Rehoboth Beach, Delaware, without elaborating per Reuters.

AUD/USD remains pressured

The news exerts downside pressure on the AUD/USD, around 0.6450 by the press time, probing the bulls even after the first weekly gains in seven.

“We are on track to halve inflation this year and by sticking to our plan we will ease the pressure on families and businesses alike," said UK Finance Minister Jeremy Hunt during the weekend per Reuters.

The policymaker also told the BBC that he thinks of witnessing a blip in inflation in September but after that the Bank of England is saying it will fall down to around 5%.

More to come

• EUR/USD holds lower grounds after seven-week losing streak that broke a key technical support.
• Mostly upbeat US jobs report underpin US Dollar strength despite mixed data flashed previously.
• Unimpressive Eurozone data, slightly dovish ECB talks weigh on Euro.
• US holiday may restrict moves but ECB President Lagarde’s speech will be the key for fresh impulse.

EUR/USD bears keep the reins at the lowest level in a week, after falling heavily in the last two consecutive days. That said, the Euro pair remains pressured around 1.0775 during the early Monday morning in Asia.

Euro bears initially retreated in the last week amid a downward revision to the Q2 US GDP growth and softer PMIs before the upbeat prints of inflation clues and mostly impressive employment statistics weighed on the major currency pair. On the top, a softer inflation figure from the bloc and a slightly dovish comment from the European Central Bank (ECB) official also weighed on the quote.

Inflation in the Eurozone per the European Central Bank’s (ECB) favorite gauge, namely the Harmonized Index of Consumer Prices (HICP), rose to 0.6% MoM versus -0.1% expected and prior readings whereas the YoY figures remained reprinted at 5.3% figures compared to 5.1% YoY market estimations. Over the past four months, the average monthly increase in core HICP has more than halved to 0.20% MoM than 0.6% reported in the first four months of 2023.

That said, European Central Bank (ECB) policymaker, Francois Villeroy de Galhau said that the underlying inflation has peaked since April and appears to have begun its decline. Adding to this, ECB’s Villeroy also said, per Reuters, that keeping rates high long enough matters more than the level.

Talking about the US data, the headlines US Nonfarm Payrolls (NFP) rose to 187K in August versus 170K expected and 157K prior (revised) even as the Unemployment Rate marked an uptick to 3.8% from 3.5% market forecasts and previous readings. Further, the Average Hourly Earnings also eased to 0.2% and 4.3% compared to 0.4% and 4.4% respective priors. Additionally, the US ISM Manufacturing PMI also impressed the US Dollar buyers with the 47.6 figures versus analysts’ estimation of 47.0 versus 46.4 previous readings.

Following the data, Federal Reserve Bank of Cleveland President Loretta J. Mester downplayed the increase in the Unemployment Rate to 3.8% by stating that the level "is still low." The policymaker termed the US job market as strong despite recent rebalancing as she spoke at an event in Germany. About inflation, Fed’s Mester acknowledged that progress has been made but noted it remains elevated.

With this, the US Dollar managed to close on the positive side for the seventh consecutive week despite marking the lowest weekly gain since early July.

It should be observed that the decline in the benchmark US 10-year Treasury bond yields has been declining in the last two consecutive weeks after rising to the highest levels since 2007, to 4.18% at the latest. Further, the Wall Street benchmarks also improved in the recent few days, despite Friday’s sluggish closing, which in turn prod the EUR/USD traders.

Moving on, the US markets are closed for the Labor Day holiday and hence the EUR/USD traders may witness a lackluster day but ECB President Christine Lagarde might help the momentum traders. Should the policymaker manage to keep her hawkish tone, the Euro may post a corrective bounce. Additionally important will be Wednesday’s US ISM Services PMI for August.

Technical analysis

A daily closing below an ascending support line from March 15, now immediate resistance near 1.0785, directs EUR/USD toward a downward-sloping trend line from late June, close to 1.0750 at the latest.