Asia Summary and Highlights 24 August
Carney's team sees little chance of resumed talks before the U.S. midterms
Asia Session
The breakdown of trade talk between U.S.-Canada is somewhat unexpected as both sides seems to be really close last week. However, on late Friday we heard both sides accusing each other of malpractice in negotiations. It looks like there won't be a deal anytime soon with USTR saying no talks at current time. USD/CAD opened 50 pips higher and is trying to close the gap. Still 0.30% higher than Friday's close at 1.3807.
Broader risk sentiment is soft on Monday with lingering geopolitical tension in the Middle East and breakdown of U.S.-Canada trade talks. Major equity indexes are in the red, led by regional ones. AUD/USD is trading 0.04% lower at 0.7167 after closing the gap. NZD/USD is also down 0.04%. Treasury yieldas are lower across the curve, seeing USD/JPY down 0.06%. Else, EUR/USD is up 0.03% and GBP/USD is down 0.01%.