US dollar
The dollar edged higher in early European trade Tuesday, gaining some lost ground as the more risk-averse sought a safe haven following news of Johnson & Johnson’s setback with its Covid-19 vaccine candidate.
Johnson & Johnson said late Monday it had temporarily paused its Covid-19 vaccine candidate clinical trials due to an unexplained illness in a study participant, delaying one of the highest profile efforts to contain the global pandemic.
EUR/USD dropped 0.2% to 1.1795, USD/JPY was up 0.1% at 105.38 while GBP/USD traded 0.2% lower at 1.3053, still above the key 1.30 level as hopes for a Brexit deal offset concern about pressure on the economy from new coronavirus restrictions.
Oil prices pushed higher Tuesday, recovering after losses of just under 3% during the previous session, but excess output continues to plague the market along with ever-rising Covid-19 numbers hurting global demand.
Gold was down on Tuesday morning as the greenback gained strength. A rapid rise in U.S. tech stocks also drew investors’ interest away from the precious metal.
In the session ahead, the German/EMU ZEW survey is due later at 09:00 GMT and it will give a first glimpse of what is in store for the German manufacturing sector in October.
In the US session the release of the core CPI from the US at 12:30 GMT, and the API Weekly Crude Oil Stock at 20:30 GMT will be closely watched