Forex Today: Trade optimism and some Brexit calm ahead of a packed day

Yohay Elam FXStreet

Here is what you need to know on Friday, August 30:
- Markets are calm and optimistic about a resolution on trade after China hinted it may wait before retaliating in response to the upcoming US tariffs on September 1. The dollar has remained stable in Asia.
- Brexit: UK prime minister Boris Johnson has called on the EU to step up talks, expressing optimism. Denmark calls on the EU to show flexibility if the UK comes up with new proposals. His move to suspend parliament has convinced many that he is determined to ram through a no-deal Brexit. GBP/USD remains on the back foot.
- EUR/USD is getting closer to the 2019 low, reversing gains seen on Thursday. Klaas Knot, a member of the European Central Bank, pushed back against resuming the bond-buying scheme and hinted that markets are expecting too much from the September meeting.
- Germany: Regional elections over the weekend may see gains for the far-right AfD, weakening the ruling parties.
- AUD/USD is trading close to 0.67 after Australian Building Approvals plunged by 9.7% in June.
- Japan: Tokyo inflation figures for August have all come out below 1%, far from the Bank of Japan's 2% target.
- The last trading day of August is packed, with euro-zone inflation, Canadian GDP, and US Core PCE – the Fed's preferred measure of inflation – stand out.
- Gold, oil, and cryptocurrencies have stabilized.

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

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