The Financial Post reports in its Thursday edition that the U.S. dollar gauge dropped to a monthly low as traders anticipate the upcoming Group of Seven meeting for indications of a weaker currency from the Trump administration. A Bloomberg dispatch to the Post reports that the Bloomberg Dollar Spot Index fell 0.4 per cent on Wednesday, marking its third decline in a row, with options markets becoming the most bearish in five years due to concerns over the U.S. budget deficit. Losses increased after South Korea's Finance Ministry stated FX discussions with the U.S. are ongoing, while Japan's Finance Minister expressed a desire for currency talks with his U.S. counterpart this week. Washington is unlikely to "aggressively pursue" a weak dollar, but the greenback will end up declining as the nation reaches agreements with its trading partners to lower tariffs, Citigroup's Osamu Takashima wrote in a note. FX analyst Chris Turner said that the language used to describe currency policy at the G7 "could prove incendiary and hit the dollar." Morgan Stanley raised its outlook on U.S. stocks and Treasuries but expects the dollar to weaken as the U.S. economic growth premium diminishes and yield gaps narrow with other countries.