See the latest Australian dollar analysis here:
Outside of Hong Kong, it was a staid session across Asian stock markets today as risk tread water in reaction to the poor lead from Wall Street and the deepening Brexit drama overnight. Locally, the latest GDP print has added to the poor macroeconomic picture, with traders betting that the RBA will do 2/5ths of stuff all about it, sending the Aussie dollar higher as a result.
The Shanghai Composite ramped up into the close to finish nearly 1% higher at 2957 points while the Hang Seng Index lifted up into the stratosphere, closing 4% higher to 26559 points, all on the back of the possibility of the extradition bill being rescinded. Pressure has lifted swiftly to bounce off the terminal low just below 25000 points and could fill in quickly if the protests actually end:
Japanese share markets are mixed even as the Yen sold off slightly during the session with the Nikkei 225 closing a handful of points higher at 20649 points. The USDJPY pair is trying to fight back after being pushed down to the 106 handle and trailing ATR support, but is yet to make a new daily high:
The ASX200 slid back on the retail sales and GDP print, falling 0.3% to 6553 points with no support from the Australian dollar which is now threatending the 68 handle after launching higher on yesterdays RBA hold decision. This fills in almost all of last week’s decline and sent the short sellers scurrying for safety:
S&P and Eurostoxx futures are advancing on the good mood as confidence slowly comes back with the S&P500 four hourly chart showing price wanting to get back up to the 2940 point resistance level:
The economic calendar is relatively quiet with some final PMI prints and the Canadian central bank meeting.