Global stocks are rising as investors remain optimistic about the US and China trade relations. The two countries held a review of the first phase trade deal that was signed in January this year. According to Bloomberg, the two sides saw progress in the talks and are committed to its success. In the virtual meeting, they discussed what China had done, including buying more American goods and ensuring greater protection for intellectual property rights. In the deal, China needs to buy more than $130 billion worth of goods in the second half of the year. Futures tied to the Dow Jones and S&P 500 have risen by 0.55% and 0.45%, respectively.

The euro rose slightly against the US dollar during the Asian session. The currency will today react to the upcoming data from Germany, the biggest economy in Europe. The country will release the second reading of its second-quarter GDP data. Analysts expect that the company’s economy contracted by 11.7% in the quarter after dropping by 1.9% in the previous quarter. They also expect it to drop by 10.1% on a quarter-on-quarter basis. The Ifo institute will also release the business expectations numbers. Analysts polled by Reuters expect the German current assessment will rise to 87.0 while the business climate will rise to 92.2.

The US dollar was little changed against its peer currencies ahead of a key meeting and important economic data. Later today, we will receive the new home sales numbers from the US. Analysts expect that the sales increased by 1.3% in July after rising by 13.8% in the previous month. The Conference Board will also release the consumer confidence data, which are expected to increase to 93.0. Consumer confidence is an important number because it influences consumer spending, the biggest component of the US economy.

EUR/USD

The EUR/USD pair rose slightly during the Asian session. It is trading at 1.1811, which is three pips below the day’s high of 1.1814. On the hourly chart, the price has just crossed the 50-period and 100-period moving average. The RSI has also moved from a low of 36 to the current 54. Also, the price is slightly above the 61.8% Fibonacci retracement level. Therefore, the pair is likely to continue rising as bulls aim for the 50% retracement at 1.1837.

GBP/USD

The GBP/USD pair rose slightly during the Asian session. It is trading at 1.3105, which is slightly below the ascending trend line. It is also slightly above the 50-period and 100-period moving averages. Also, the signal and main line of the MACD have moved below the neutral line. The Average True Range (ATR) has also been falling. Therefore, the pair is likely to continue rising as bulls aim for the next resistance level at 1.3150.

XBR/USD

The XBR/USD pair is little changed ahead of the US inventories data. The pair is trading at 45.18, which is in the same range it has for weeks. On the daily chart, the price is above the short and medium-term moving averages and slightly below the 50% Fibonacci retracement level. The price is also forming a bearish rising wedge pattern, which seems to be nearing its tip. Therefore, there is a possibility that the consolidation will continue in the near term before an eventual breakout.