By Chris Becker
Optimisim surrounding a potential trade deal with China coupled with stronger US earnings saw stocks recover well in both Europe and Wall Street overnight. Tech stocks still struggled while the USD stamped down nascent recoveries in both major and emerging market currencies.
Recapping Asia’s session yesterday with Chinese stocks first, the Shanghai Composite eventually closed 0.6% lower at 2705 points, unable to get away from the emerging market rout or the weaker Yuan. Momentum remains very negative with only a potential bottom at the 2700 point level that has been respected so far:
