EUR/USD, USD/JPY, DXY flows: Trump making sure Sep FOMC is political minefield

One of the more off the wall Trump Friday specials and hard for the market quite to know what to do with it, but bears repeating: “High interest rates put the U.S.A. at a very unfair disadvantage, and I won't allow that to happen! We should have the LOWEST RATE of any country in the World ... LOWER THE RATE OR I’LL STOP TRADING WITH COUNTRIES WITH WHICH WE HAVE A DEFICIT”

Specifics of the remark aside, it can clearly be filed under political pressure not to hike rates in Sep. That makes next week’s data even more ‘interesting’. In a way, some on the Fed might even view this as a reason to hike if they were on the fence, just to assert independence, though clearly it would stir up even more noise, and new appointee Warsh may be less enthusiastic to engage with it. Just in case the Sep meeting wasn't tense enough...