Phase 2 of China trade deal not a priority says Trump

After implementing phase 1 of the trade deal with China earlier in the year, President Trump today stated he is “not thinking” about Phase 2.

With relations with China recently made worse due to the coronavirus outbreak, the heavily contested trade deal which created significant market volatility last year, seems as though it is being on the back burner.

In response to questions posed to him today, the President stated, “The relationship with China has been severely damaged. They could have stopped the plague, they could have stopped it. They didn’t stop it,”.  

This news contributed to a choppy trading session on Friday.

UK Government hopeful of Brexit deal this month

With Angela Merkel recently stating that the EU should be prepared for a no deal Brexit, Britain have responded with optimism on the possibility of reaching an agreement.

A spokesperson for the British government today stated that “The UK remains committed” to agreeing on key principles of the deal before the end of July.

The FTSE 100 rallied on the news, erasing most of the losses from yesterday’s session.

2020 Oil demand forecasted to increase

After initially decreasing its demand forecast for oil in 2020, the IEA have today revised these projections up.

This move comes as the International Energy Agency expects that the end of global lockdown measures will boost demand.

As a result, forecasts have been increased to 92.1 million barrels per day , which is an increase of 400,000 bpd from its projections in June.

Quote of the day:   “All you need is one pattern to make a living.” – Linda Raschke

Biggest Bull

Crude Oil: Crude jumped by $2 on Friday as the IEA stated that demand for oil would be up higher than previous outlooks suggested.

Source: Tradeview MT4

Biggest Bear

Gold: After starting the day trading at $1,810, gold prices dropped to a low of $1,795 before bouncing back up to $1,799 , still $11 away from its Friday high.

Source: Tradeview MT4