by Chris Becker
The US dollar fell to a nine month low last night, but this didn’t help stocks, where US bourses slipped into rollover territory. European stocks fared slightly better on news that another round of assistance for banks is on the way, particularly for Italian lenders, but this has been pared back in correlated futures trading. Oil and gold were the major recipients of USD weakness, with WTI popping the $40USD per barrel level once more.
Recapping Asia’s session where the Shanghai Composite is setting up to surge higher, rising 1.5% yesterday to over 3000 points once again. While we must respect the longer term deflation of the bubble, this is setting up for a second stage surge up to 3200 or even 3400 points:
