By Chris Becker
Cut taxes? Launch stocks! US markets loved the White House noise on possible tax cuts and more fiscal spending as the Reaganesque measures helped hot money from overbid Treasuries filter into the S&P. This has led to a surge in futures for Asian markets which should open higher this morning after several days of malaise. Commodities were largely unchanged with oil slipping slightly while in currency land the USD saw a late surge against everything except Aussie dollar.
Yesterday in China, after a late post-lunch dip mysteriously filled the Shanghai Composite made a scratch session but still closed below key support at 3200 points. My call for a sharp retracement back down to previous support at 3100 is holding here but it seems authorities don’t want further falls:
