By Chris Becker
As most of the world had a long weekend, two leaders with weird haircuts ratcheted up the tensions in Korea sending volatility through the roof on futures, although US stocks came back last night as the USD strength faded slightly. The bigger moves are in commodities with the continued slump in iron ore to weigh on Australian markets and the AUD this morning, while copper rallied on the Chinese growth figures, oil is failing to make new highs on signs US supply is not going to abate as expected.
Yesterday in China, the Shanghai Composite closed down 0.7% to 3222 points in a very lacklustre session as it remains unable to beat overhead resistance at the 3300 level. The daily chart clearly shows that a breakthrough above that level should see an explosion upwards, but it remains too hard a target:
