Forex news from the European trading session - 15 July 2020



  • AUD leads, USD lags on the day
  • European equities higher; E-minis up 1.3%
  • US 10-year yields up 2 bps to 0.645%
  • Gold down 0.1% to $1,807.30
  • WTI up 1.4% to $40.85
  • Bitcoin down 0.5% to $9,230
EOD 15-07

Hope springs eternal. It is all about vaccine talk today as the risk rally extends further following optimistic news from the Moderna and Oxford trials.

European equities began with decent gains of near 1% but pretty much doubled that after the Oxford vaccine headline.

Meanwhile, US futures were already more optimistic but pushed higher with S&P 500 turning around 0.6% gains to now over 1% gains.

That saw the dollar fall on the session, with EUR/USD extending to fresh four-month highs in a push from 1.1400 to near 1.1450. Cable also regained some upside momentum, climbing from 1.2580 to 1.2635 as the dollar faltered.

Elsewhere, AUD/USD is testing the June highs on a push from 0.6990 to 0.7020 levels.

Looking ahead, risk will continue to remain the key focus with the S&P 500 poised to potentially take a shot at testing the overnight high at around 3,235.

After some choppy trading over the past week or so, perhaps this is where the risk rally resumes. But if it all comes undone, that will be an extremely ominous sign for risk sentiment in general despite all the optimism we have seen so far today.