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Asian markets headed broadly lower Monday as investors across the region reacted to the stronger than expected U.S. jobs report from last Friday, and to the reduced chances of a U.S. interest rate cut as a result. Next up is the testimony of Fed chairman Jerome Powell later this week, and investors will be interested to see if he gives hints about the timing of U.S. rate cuts.

Mainland China’s markets opened sharply lower, Hong Kong’s investors are taking their lead from the mainland, sending the Hang Seng lower by 1.4%. In Japan the Nikkei trades down by 0.9%, Australia’s S&P/ASX 200 trades lower by 1%.

The Canadian dollar lost around 0.12 % yesterday after the market tried to scale back the likely rate reductions in 2019 by the Fed.

Now, the pair trades at 1.32960 CAD, which is a minor incline of 0.00121 or 0.09% from the previous close of 1.32833.

The trading volume 34.283K.The daily range is from 1.3276 to 1.3298. The concerns over trade sanctions also advanced the precedent of a relatively easy solution of the trade war with Mexico.

However, there are many question marks about the possible outcome of the US-China trade dispute will be ahead of a potential meeting in Japan, later this month.

Moreover, the USD seems to lose some ground after a medium-term losing trend since the start of the month. Meanwhile, the major resistance is around the level of 97.80.

Google has suspended business activity with Huawei that involves the transfer of hardware, software and key technical services.

That means Huawei will not be able to license the Android operating system complete with Google services and will instead have to use an open-source version.

" Huawei will continue to provide security updates and after sales services to all existing Huawei and Honor smartphone and tablet products covering those have been sold or still in stock globally. We will continue to build a safe and sustainable software ecosystem, in order to provide the best experience for all users globally", the spokesperson said.

Former Goldman CEO Lloyd Blankfein: Trump’s tariffs aren’t a bad idea.

The United States may be feeling the pain of tariffs now, but they will hurt China in the longer term, said former Goldman Sachs CEO Lloyd Blankfein. “Saying it hurts us misses the point. China relies more on trade and loses more.”

Trade tensions between the world’s two largest economies escalated in the last week. U.S. President Donald Trump’s administration raised tariffs on $200 billion worth of imported goods from China to 25% from 10%. In response, Beijing retaliated with duties of up to 25% on $60 billion worth of U.S. goods that are set to take effect on June 1.