We kicked off the new week with renewed demand for US assets. The S&P 500 extended last week’s gains as the greenback traded higher against all of the major currencies. By sparing Mexico punitive tariffs and US corporations, a major threat to earnings, the immigration agreement between the US and Mexico provided a big boost for risk appetite. The US dollar benefitted the most because next to Mexico, the threat to the US economy or corporate earnings was the greatest risk. While this deal eases concerns about the US economy’s second half performance, we believe that the dollar will fall further in the coming days and ... (full story)