Despite the signing of a ‘Phase One’ trade deal between the US and China, which was supposed to reassure the markets and drive risk-on sentiment, trading has been somehow subdued without significant movement in the major currency pairs. This probably means that the impact of this event had already been baked into the forex markets in the build-up.
A currency pair that has certainly been interesting to follow during the last 24 hours is the Ruble against the US Dollar, with the Russian currency losing the best part of 0.5%, following the resignation of prime minister Medvedev. The unfolding of this political crisis will be followed by investors, as it could potentially disrupt President Putin’s long-term economic plans for the country.
