Markets opened the trading week flat, but confidence is slowly returning, allowing a recovery in equities and the US Dollar. The EUR slipped back to 1.1300, while the GBP dropped back to 1.3250. The recovery in equities and the US Dollar would receive a massive boost if the US announce trade deals with major trading partners. This may be coming soon and markets are counting on this, as a China resolution remains elusive. US ISM PMI data was better than expected and was a boost to markets, while speculation builds over the interest rate decisions from the FOMC and the Bank of England.The recovery in the reserve currency interrupted gains in commodity currencies, with the AUD drifting back to 0.6450, while the NZD looks to hold 0.5950. Global trade agreements remain front and centre, while attention will begin to focus on the US Central Bank. Trump has mounted pressure on the Fed and he will be looking for a return.
