Hopes of progress in the US-China trade talks kept the safe-haven Japanese yen on the defensive while the British Pound remained well supported by renewed Brexit optimism. The prevalent US Dollar selling bias provided a modest lift to the euro during the early session on the last trading day of the week.
The Greenback failed to capitalize on the positive trade-related developments and remained depressed amid increasing odds of further monetary easing by the Fed. Thursday's softer US consumer inflation figures reinforced market expectations that the Fed will cut interest rates again at its upcoming meeting on October 29-30 and kept exerting some downward pressure on the buck.
In absence of any major market-moving economic releases during the European session on Friday, the incoming headlines from a meeting between Finance Ministers from EU member states might influence the shared currency. Apart from this, Friday's key focus will be on the resumption of EU-UK Brexit talks, which should act as an exclusive driver of the market sentiment surrounding the British Pound.
During the early North-American session, the release of Prelim UoM consumer sentiment index from the US will be eyed for some impetus. This coupled with any fresh trade-related developments might further contribute towards producing some meaningful trading opportunities on Friday.
Oil rallies over 1% in reaction to report of an explosion in an Iranian tanker while Gold is currently supported in a tight range in Asia. Risk has rallied yet Gold is at a standstill ahead of highly anticipated high-level trade talks later today in Washington when Trump and Vice Premier Lui finally meet.