By Chris Becker
Its a night of record highs on Wall Street with both the NASDAQ and S&P500 gapping to new highs on the open, with US Treasuries selling off seeing 10 year yields almost reaching 1.8%. In currency markets, its all about USD strength with the risk proxy USDJPY rebounding while Aussie and Kiwi are deflating alongside Euro, despite a big jump in oil prices again as speculation of more OPEC cuts is priced in.
Looking at the action on Asian markets yesterday, where the Shanghai Composite continued to build on its Friday breakout, closing some 0.6% higher to 2959 points while the Hang Seng Index soared 1.6% to close well above the 27000 points level, having cleared the weekly downtrend line on Friday. This is a very strong move, but with risk assets all aligned, watch for a continuation above the previous high reached in September at around 27400 to be breached:
