Macro Morning (Trading Week)

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By Chris Becker

The hope rally continues as Chinese markets come alive from their week long holiday, a holiday that has been reinforced by Fed watchers grasping at straws that the Fed will hold another month before pulling the rate rise trigger. Friday night saw a tepid end to a very good week for stocks in the US, Europe and Asia, bouncing off lows but all normal action in a bear market. Bonds are still heavily bid and not showing signs of a rush back to risk as the USD weakens against all the majors, except Yen. Commodities are where the action is with significant breakouts in oil, copper and precious metals after huge losses.

Recapping Asia’s Friday session, where the Shanghai Composite built on its positive return from holidays and lifted 1.3% to 3180 points or so. Its a nice bounce off support here at 3000 points, but no breakout yet above resistance at 3400 points:

ssec_ix_price_daily_and_commodity_channel_index___daily___40_periods.07apr15_to_17oct15

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