A very mixed session across the region today as risk taking diverges as a result of a more accommodative Federal Reserve overnight which sent USD lower against all the major currencies, which affected the ASX200 the most. Concerns that Trump may do something to distract from his impeachment woes
The Shanghai Composite dropped 0.3% to 2915 taking back its previous gains but still remaining above the 2900 point level, while the Hang Seng Index broke out the other way and closed some 1.2% higher to distinctly breakout above the 27000 point level:
Japanese share markets are still wavering, weighed down by more Yen buying, with the Nikkei 225 closing only a few points higher to 23424 points, still remaining well clear of daily support at the 23000 level but not going anywhere. The USDJPY pair is to blame here, able to bounce ever so slightly following last nights selloff but still hovering near last weeks low at the 108.40 level:
The ASX200 was the biggest loser, down 0.6% to remain just above key support at the 6700 point level with all the blame squarely at the feet of the Aussie dollar which surged overnight. The Pacific Peso didn’t move throughout the session and was unable to breach the 69 handle, looking somewhat overbought here but still in a strong position:
Both S&P and Eurostoxx futures are slightly higher going into the European open with the S&P500 four hourly chart showing how the recent bounceback is going to try to break strong resistance at the 3150 point level again tonight:
The economic calendar has a couple minor things to keep a little eye on tonight – just the latest ECB policy meeting and the UK election spectacle….