According to Chinese vice Premier Liu He there is a “new consensus” on trade between the US and China, whilst President Trump added that “we’ll know more in four weeks”. This helps to underscore the rebound in risk appetite that has been building since early this week. However, it is not quite the game changer that markets have been looking for, as much seems to be priced in already. Despite this though there is a tracking higher on Treasury yields now which is helping to support equities in their breakout to six month highs. This is showing through moves on forex majors this morning with the safe haven yen underperforming. The dollar tracking higher against the yen is a good indication of this continued gradual improvement in risk. However, with today’s Non-farm Payrolls in mind, there is an air of consolidation still through forex majors. With the dollar still seen as the best of a bad bunch amongst major forex, there is added important on tier one US data now. In this period of sliding inflation, US earnings growth continuing to strengthen continues to help US consumption which is around 70% of the US economy. Will payrolls today continue to paint this picture? Aside from the risk positive bias on forex today, the choppy consolidation on sterling is the one real mover. Sterling has swung back higher again after yesterday’s weakness, but in the context of ongoing uncertainty over Brexit, taking a step back shows there is little real direction of note.