Some recovery for pound as dollar also treads water

The bid tone around the AUD strengthening, pushing the AUD/USD pair higher by 30 pips on reports that the US is considering a currency pact with China as part of a partial trade deal.As of writing, the pair is trading at 0.6746, having high a high of 0.6756 soon before press time.The risk sentiment improved after a Bloomberg report said the White House is looking at rolling out a previously agreed currency pact with China as part of an early partial deal that could pave the way for a suspension of the planned tariff increase next week.The currency pact would be followed by more negotiations on core issues like intellectual property and forced technology transfers, the people familiar with the matter told Bloomberg.The news put a bid under the AUD, a proxy for China, at lows near 0.6720. The futures on the S&P 500 have also recovered losses. The index futures had dropped 1% in the early Asian trading hours on reports of US-China trade-talk fallout.Apart from the currency pact headline, the Huawei news may be pushing the AUD and other risky assets higher.The Trump administration is planning to issue licenses allowing some American companies to supply nonsensitive goods to the Chinese telecom giant Huawei. That could help cool trade tensions.Forex Crunch is a site all about the foreign exchange market, which consists of news, opinions, daily and weekly forex analysis, technical analysis, tutorials, basics of the forex market, forex software posts, insights about the forex industry and whatever is related to Forex.Foreign exchange (Forex) trading carries a high level of risk and may not be suitable for all investors. The risk grows as the leverage is higher. Investment objectives, risk appetite and the trader’s level of experience should be carefully weighed before entering the Forex market. There is always a possibility of losing some or all of your initial investment / deposit, so you should not invest money which you cannot afford to lose. The high risk that is involved with currency trading must be known to you. Please ask for advice from an independent financial advisor before entering this market. Any comments made on Forex Crunch or on other sites that have received permission to republish the content originating on Forex Crunch reflect the opinions of the individual authors and do not necessarily represent the opinions of any of Forex Crunch’s authorized authors. Forex Crunch has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: Omissions and errors may occur. Any news, analysis, opinion, price quote or any other information contained on Forex Crunch and permitted re-published content should be taken as general market commentary. This is by no means investment advice. Forex Crunch will not accept liability for any damage, loss, including without limitation to, any profit or loss, which may either arise directly or indirectly from use of such information. .