by Chris Becker
A broad selloff in Asian stock markets on the back of a poor Chinese manufacturing PMI did not translate into falls on European or American stocks as their respective PMIs came in stronger then expected. Commodities and bonds were sold off as the reflation trade from the September lows continued and Mario Draghi put cold water on further QE before the end of the calendar year.
Recapping Asia’s session where the Shanghai Composite fell nearly 2% on the back of the Caixin PMI, maintaining resistance at the 3400 point level. This suggests to me a move back down to terminal support at 3000 points, even with transatlantic ebullience, which is bad news for Aussie stocks:
