Demand for safe havens has helped the Japanese Yen surge to a three-month high against the US dollar on Thursday. Chinese Vice Premier Liu He will begin talks in Washington later today which will continue till tomorrow.

Markets wait on the sidelines with bated breath hoping that both world leaders are able to resolve their conflicts and the trade talks proceed towards a deal soon. Global economic growth concerns remain as US engages with a fresh tariff war on China, alleging that China has backtracked on important terms negotiated so far.

Unlike the initial rounds of tariff hikes, even as safe haven demand increases, the dollar isn’t strengthening and making new gains this time around. For now, USD/JPY trades at 109.82 as the Japanese Yen gains more than one percent over the dollar in a month.