Nothing Saves, USD Continues to Be Crazy

<p>&nbsp;The US dollar remained trading weaker in the European session, still weighed down by last Friday's disappointing US NFP jobs data.</p><p><br /></p><p>At the time of writing, the dollar index which measures the strength of the greenback is trading at around 102.32 against six other major currencies.</p><p><br /></p><p>The US economy made the smallest addition in two and a half years in June, suggesting that higher interest rates are starting to weaken the ability of businesses to increase the number of workers.</p><p><br /></p><p>Investors' focus is next on the release of US consumer and producer inflation data this week which is expected to continue to ease last month.</p><p><br /></p><p>Meanwhile, China's dismal inflation data released in the Asian session earlier, again weakened Aussie and New Zealand dollar trading.</p><p><br /></p><p><br /></p><p>Disappointingly, China's consumer price index (CPI) read zero or was unchanged in June, putting the world's second-largest economy one step closer to deflation.</p><p><br /></p><p>In the meantime, the euro and the pound each still defended most of the gains made last Friday to remain traded higher in the European session.</p><p><br /></p><p>Investors now await the release of UK employment data tomorrow (Tuesday) and gross domestic product (GDP) on Thursday.</p><p><br /></p><p>On the other hand, the dollar loonie traded flat against the greenback, continuing to hold on to gains made after stronger Canadian jobs data and a weaker US dollar.</p><p><br /></p><p>The yen, meanwhile, remained trading higher against the US dollar, following a quarterly report that said the Bank of Japan (BOJ) raised its ratings for three of the country's nine economic regions.</p>