An even better return to risk here in Asia today with most stock markets lifting, while the USD remained quite strong against the major currencies, the Kiwi and Aussie in particular retreating.
The Shanghai Composite is up a handful of points going into the close, currently at 2596, still hanging on but unable to get back above the previous support level at 2600 points. The Hang Seng Index has rebounded sharply however, up nearly 1.6% to 26179 points, able to get back above the previous support level and the low moving average on the daily chart in what could be the start of a recovery:
US and Eurostoxx futures are up about 0.4% or so going into the London open, with the four hourly S&P 500 futures chart still showing a downtrend through series of lower daily lows that could culminate in a capitulation soon unless that trendline is decisively broken to the upside:
Japanese stocks were the best performers on the return to risk and the very supportive weaker Yen. The Nikkei 225, closed over 2% higher to 21591 points but still looks quite depressed on all the charts. The USDJPY pair continued its overnight surge after its previous pause, currently at the 113.40 level and looking to get back to its previous two weekly high :
The ASX200 did well, lifting nearly 1.4% in line with other risk assets to 5653 points, getting back above terminal support and making a two day recovery. The Aussie dollar also came back slightly to be just above the 72 handle but was unable to make any gains above the high moving average on the four hourly chart, indicating that the trend remains down:
The economic calendar tonight has the all important November CPI print in the US followed by the DOE oil inventory report.