Macro Morning

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By Chris Becker 

US/China trade tensions are subsiding this time, with US stocks lifting overnight alongside bond yields while the USD remained firm, not withstanding a spike due to the latest OECD Economic Outlook. Commodity prices remain relatively calm during this whole mess although gold is sitting on a monthly low.

Yesterday saw Asian stock markets bounce back a little on the Huawei clawback with the Shanghai Composite returning above 2900 points, lifting 1.2% to 2905 points. In Hong Kong the Hang Seng Index was looking to put in a scratch session, but sold off going into the close, falling 0.4% to 27657 points making another new daily low and still confirming the dead cat bounce. Momentum is not yet heavily oversold and does support a move lower from here:

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