Movements in major currencies generally tell the history of the markets. A slight hint of risk-on sentiment, but nothing larger at the moment, with risk assets backed by Kudlow’s comments that the US-China trade is getting closer and closer.
In such a market situation, risk currencies are profitable. With a little context, AUD / USD and NZD / USD are trading in 16-point range.
At the same time, the franc and the yen are losing some of their positions, but again, nothing impressive. USD / JPY sellers remain in short-term control, despite attempts to recover in the pair.
Looking ahead, risk sentiment will continue to be a major asset driver, and without further news about the trade war, everything seems to be like a coin toss (not to mention Friday).
Trader Aleksandar Kumanov