Daily Fundamental Analysis: Global Markets Rise as US-China Trade Talks Show Progress

Asia-Pacific markets rose Tuesday amid ongoing U.S.-China trade talks, which were slated to continue for a second day. Officials met for trade talks in London. Asian markets showed modest gains: Japan’s Nikkei 225 rose 0.92%, South Korea’s Kospi 0.42%, China’s CSI 300 0.16%, Hong Kong’s Hang Seng 0.33%, and Australia’s S&P/ASX 200 0.73%.

U.S. futures rose after Trump reported positive progress in China talks. The previous session saw minimal movement: S&P 500  rose only 0.09%, and Nasdaq gained 0.31%.

Oil prices rose Tuesday as U.S.-China trade talks continued for a second day. Brent Crude traded above $67 per barrel, up 0.25% to $67.21. The West Texas Intermediate crude rose 0.23% to $65.44. The weaker dollar and positive trade talks between China, the world’s largest oil importer, and the U.S. supported prices with improved economic outlook.

And in the forex market, the US dollar shows indecisiveness against major currencies, with no clear trend established in the short term. EURUSD is trading sideways between  1.1350 and 1.1450 levels. GBPUSD is fluctuating between 1.3500 and 1.3600, both crucial psychological levels.

Gold attempts to recover from last week’s losses, but fails to close above $3,340 in yesterday’s trading. With the recent developments in US-China trade talks, gold prices remain under pressure and might fall to $3,200 levels again if progress continues in trade negotiations.

And in the crypto market, Bitcoin surged 3.8% to $109,600 Tuesday morning after briefly touching $110,000.

This move marks Bitcoin’s strongest June performance, recovering from last week’s $100,000 dip to reach 3% below its all-time high.

Market data shows $203 million in liquidations, mostly shorts, while derivatives volume doubled to $110.63 billion. Open interest grew 7.3% to $76.6 billion as new capital entered.

Despite optimism, caution remains. Bitcoin’s correlation with equities and mixed futures data suggest market uncertainty. Current volatility could indicate speculation rather than conviction, leaving the market vulnerable to reversals.