The renewed reports on the progress of talks between the US and China saw a rather lackluster response from the markets.
Reports surfaced that both parties are negotiating on the rollback of tariffs. The report indicates some progress in the trade talks which fell stale a few days ago. However, the risk-on sentiment remains.
Current Account Surplus Declines in Eurozone
The latest current account details for the eurozone saw a decline. Data for September showed that the current account surplus fell to 28.2 billion. This was down from the previous month’s print of 28.5 billion.
On a yearly basis, the current account surplus was at 21 billion.
EURUSD Consolidating Near Resistance Area
The currency pair was trading rather modestly on Tuesday. Price action is confined to the resistance area between 1.1062–1.1075. The consolidation could see a breakout in either direction.
With the Stochastics oscillator already in overbought levels, it is likely that we could expect a decline in the near term.
Sterling Declines Amid a Quiet Day
The British pound is trading weaker against the greenback. There were no major developments in regard to the December 12th election campaign.
On the economic front, data was subject to second-tier data. The CBI industrial order expectations sentiment rose modestly to -26 from -37 in the month before.
GBPUSD Retreats from Resistance
The currency pair fell after failing to break past the resistance area of 1.2960. The declines come after GBPUSD failed in its earlier attempt near this resistance level. Price action could trade flat within the support region of 1.2865 if the declines continue.
Gold Prices Mixed Amid a Quiet Trading Day
The precious metal was trading subdued on Tuesday. A lack of any clear progress on the trade narrative kept sentiment in check. There were also no major fundamentals due during the day which saw prices trading within a small range.
XAUUSD Stays Flat Near Minor Resistance
The precious metal was struggling to break out from the previously established highs near 1472. This indicates minor resistance and a failure to breakout higher could trigger a modest move lower.