China-US phase one trade deal: A pragmatic action plan – ANZ

Sandeep Kanihama FXStreet Contributor

In view of analysts at ANZ, the signing of the deal will bring some near-term stability to China’s trade outlook and financial markets.

Key Quotes

“The eight-chapter agreement outlines many pragmatic action points in several areas, while others remain vague. At the same time, issues such as 5G technology, cyber security and SOE subsidies have not been included in the current agreement and could be topics for further negotiations, if there are any.”

“Although China’s official statement describes the agreement as a balanced one between the two countries, it actually has more obligations to fulfil than the US, which could rekindle conflicts in the future.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.