GBP/USD sees early gains evaporate in fall to just under 1.2600
The pair touched a high of 1.2666 earlier today but has since seen a retreat, after having formed a bit of a triple-top pattern just under the 200-day moving average @ 1.2701.

China’s ministry of foreign affairs issues a statement via its Wechat account
The statement advises citizens to exercise caution when travelling to Australia, citing racism, violence and anti-Chinese sentiment being stirred up by the Australian media.

Number 1 already
One very key area of trading to get straight in your mind is the incredible importance of the USD. For many retail traders FX pairs are initially seen as equal players on the stage. However, they are far from equal and one currency that tops them all is the USD. More than 70%

Weekly FX speculative positioning data from the CFTC:
The timing on trimming the CAD shorts was sub-optimal with the pair lagging this week.

Fitch ratings on Italy
How could a country borrowing at only 1.226% for 10 years be rated BBB-?
A great move from Fitch would be if they upgraded them to AA on the implicit guarantee from Germany.

Forex news for North American trade on July 10, 2020:
Markets:
– Gold down $4 to $1799
– WTI crude up 86-cents to $40.49
– US 10-year yields up 2 bps to 0.6348%
The tone was negative overall and with a US dollar bid heading into New York trade but the virus headlines are all a bit better today, starting

Small sign that the White House doesn’t want to go big
There’s a risk that some Republican Senators start to try to reclaim some high ground on fiscal discipline. If they feel Trump isn’t going to win in November, they may want to pivot back to ‚fiscal conservatism‘ now rather than vote for another big stimulus

This is likely to hash out their positions ahead of the summit on 17-18 July

The risk mood is more mixed in European trading thus far
It is still going to be all about risk as we look towards the weekend, with US futures keeping lower ahead of North American trading, but are off earlier lows at least.

Forex news from the European trading session – 10 July 2020
Headlines:
Markets:
– JPY leads, CHF lags on the day
– European equities higher; E-minis down 0.2%