MARKET NEWS
Dollar slips after ECB hints at rates pause; US data weigh - REUTERS
Summary
- ECB cuts rates as bets build on a summer pause
- US weekly jobless claims rise for second straight week
- Investors await details of Trump-Xi call, trade deals
- Traders focused on US May payrolls on Friday
NEW YORK, June 5 (Reuters) - The dollar slipped against the euro on Thursday after the European Central Bank hinted at a pause in its year-long policy easing cycle and U.S. data pointed to softening labor market conditions amid mounting economic headwinds from tariffs.
The ECB cut interest rates for the eighth time in a year on Thursday, acknowledging inflation was under control and turning more pessimistic about economic prospects amid risks of a trade war with the United States.
While not confirming a pause, the central bank said it was now well-positioned to cope with global economic uncertainty, as market bets grew on a summer break in its year-long easing cycle.
"With today's cut and the current level of interest rates... I think we are getting to the end of a monetary policy cycle that was responding to compounded shocks, including COVID, including the war in Ukraine,
