by Chris Becker
Its a case of thank Dog below for the F.B.I as risk markets bounced back across Asia as the presidential election goes down to the wire. Stocks gapped higher and currencies gapped lower, particularly Yen, helping the Japanese bourses while Chinese shares continued ever onward without looking back. Gold is not doing well though, with other risk currencies falling on the back of a stronger USD.
The Shanghai Composite is holding onto its modest gains after the long lunch, up 0.3% to 3135 points as it tries to eke out its bear market rally. The Hang Seng is doing even better, up 0.6% as it claws back from dropping below key support at 23000, currently at 22773 points.
In Japan, the falling Yen has sent the Nikkei soaring higher, up 1.5% to 17156 points, bouncing off the bottom of its trend channel. The USDJPY pair gapped significantly higher on he open to the 104 handle and is building up to 104.40 going into the London session:
S&P Futures have gapped up significantly higher too, with an open up around 2100 points on the cards with Eurostoxx and FTSE futures also up. Looks like a solid session tonight going into the election tomorrow:
Gold however is dragging hopes of a Golden Turd, I mean Trump presidency down, now dicing with four hourly support at the $1290USD per ounce level about to break down:
For the ASX200, it was a very solid day – they must know I’m back – up 1.4% to 5250 points as the Westpac FY report lifted the financials – and hence the index – up significantly. Early days yet but we could be in for a mean bounce back here.
The Aussie dollar has been shuffling sideways throughout the session, currently at 76.70 in a non-plussed way with momentum starting to wane – watch out below here at ATR support at the 76.60 level:
The data calendar tonight is fairly quiet with German and EZ wide retail data followed by US consumer credit, but will be overshadowed by the final day of reckoning in the US presidential race. Anymore surprises?
Who will win? Kang or Kodos?