Markets turn their attention to China as it releases some significant trade-related data.

The euro finally showed some signs of life and performed well during yesterday’s trading session. The EUR/USD opened at $1.15515 and dropped to an opening hour low of $1.15480. From that point, the only way was up. After remaining flat in the early part of the session, the pair rallied mid-session to peak at $1.16074. It pulled back from that high but has since bounced back in early morning trading to sit at $1.16032. The pound was less impressive, despite showing some promise midway through the day. The GBP/USD opened at $1.29418 and did not show much in the first several hours of trade. It then rallied around the same time as the euro, hitting a high of $1.29731. It was unable to hold onto that high however, starting a slow slide shortly afterwards, eventually falling to a low of $1.29232. The pair regained some of those losses and is currently trading at $1.29417.

The Dow was once again strong, rallying for most of the session. The index opened at 25,503.08 and slipped to an opening-hour low of 25,490.61. The Dow then climbed, almost uninterrupted, to a high of 25,688.24 late in the session. It has come off those highs since where it is currently trading at 25,629.10. The Dax closed its session higher, an outing that bucked its recent trend of underwhelming performances. The Dax opened at 12,617.25 and dropped to an early low of 12,615.80. The German index then surged to a high of 12,740.80 before falling away during late trading to close at 12,663.70.

The day ahead is quite busy, but most focus is centred around China. They are releasing all-important Trade Balance figures. As the world’s second largest economy that still showing strong economic growth, the Trade Balanced data is important as China is a huge importer of goods that fuel its economy. This helps prop up smaller economies as China looks to a lot of these smaller nations for these goods. In the face of the trade wars with the US, these figures become even more crucial to the Chinese and other world economies. Other data set for release today includes:

China – USD-Denominated Trade Balance

Australia – Home Loans, RBA Governor Philip Lowe speaks

Japan – Economy Watchers Sentiment

Canada – Building Permits

US – Crude Oil Inventories, FOMC Member Thomas Barkin speaks

NZ – Official Cash Rate, RBNZ Monetary Policy Statement & Rate Statement, RBNZ Press Conference

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