In Asian Equity Markets indices traded largely negative on Tuesday, as ties between the U.S. and China appeared to have taken a turn for the worse. South Korea’s Kospi fell further to trade down by 0.71 percent, despite data showing the country’s year-on-year output to be above forecasts. Down Under, the ASX 200 also continued its slide, falling by 0.77 percent as most of the country’s banks continued to sustain losses. Shares of AMP falling further to trade down by 2.24 percent. Hong Kong’s Hang Seng index fell by 1.64 percent on its first trading day of the week.

In Currency Markets the dollar retained gains against a basket of currencies on Tuesday while slipping off a more than 10-month peak against the yen as the boost to risk appetites from the U.S.-Canada trade deal to replace the North American Free Trade Agreement faded. Against the Japanese yen, the dollar rose 0.06 percent to 113.92 yen on Tuesday. The Australian dollar, meanwhile, was 0.05 percent higher at $0.7228 shortly before the RBA’s policy decision. The euro was down 0.06 percent against the greenback at $1.1573 on renewed concerns about Italy’s budget deficit.

In Commodities Markets oil markets were firm on Tuesday, with Brent crude prices holding near four-year highs reached the previous day as markets adjust to the prospect of tighter supply once the U.S. sanctions against Iran kick in next month.  International benchmark Brent crude oil futures were at $85.02 per barrel, up 4 cents from their last close, and not far off the $85.45 peak reached in the previous session, the highest since November 2014. Brent has risen by around 20 percent from the most recent lows in August.

In US Equity Markets indices started off the fourth quarter on a healthy note on Monday, led by automotive and railroad stocks, after a last-minute deal to salvage NAFTA as a trilateral pact. Shares of Ford jumped 1.7 percent, while General Motors gained 1.3 percent. The gainers also included auto part makers, with Lear Corp up 2.8 percent. Among railroads, Kansas City Southern rose 2.5 percent. The S&P 500 was up 14.06 points, or 0.48 percent, at 2,928.04 and the Nasdaq Composite was up 19.48 points, or 0.24 percent, at 8,065.83.

In Bond Markets yields on U.S. government bonds rose modestly on Monday, as risk assets rallied off the weekend announcement that the United States and Canada had reached a deal to save NAFTA as a trilateral pact with Mexico. Yields at the long end of the curve benefited most, with the 30-year bond yield last up 3.7 basis points from Friday’s close to 3.234 percent and the 10-year yield up 2.6 basis points to 3.082 percent. The short end of the curve was little affected, with the two-year yield up less than half a basis point in afternoon trade.