See the latest Australian dollar analysis here:
Not a happy day on Asian share markets with a sea of red across the board, as risk sentiment remains very cautious with no good news emanating from the US/China trade war. All the major currencies are on the defensive against King Dollar, with the Aussie hovering at its recent lows while Pound Sterling has broken down again on Brexit negotiations.
The Shanghai Composite is off by more than 1.3% to get straight back below 2900 points, currently at 2853 points, while the Hang Seng Index is doing about the same, off by 1.6% to 27245 points signalling a clear breakdown here on the daily chart as this correction continues:
US futures are off by 0.5% while Eurostoxx futures are even further down, off by 0.7% as traders await Euro-wide PMI data tonight. The four hourly chart of the S&P500 chart shows a clear breakdown back to trailing support at the 2830 point level as traders write off this week:
Japanese share markets are down amid the poor mood, with the Nikkei 225 closing 0.6% lower to 21151 points while the broader TOPIX is down about half that. The USDJPY pair has failed again to push higher after breaking out to the high 110’s and is currently hovering precariously above the 110 handle:
Australian stocks have finally put in a poor session with the ASX200 falling 0.3% to remain get back below the 6500 point barrier, closing at 6491 points. The Australian dollar is as depressed as a Labor supporter here, with no momentum behind it and remaining below the 69 handle:
The economic calendar will focus on a slew of European preliminary PMI prints tonight, including the latest ECB minutes plus a similar view at the US PMI’s.