Macro Morning

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By Chris Becker 

The Santa Claus rally on risk assets is over with a wide selloff overnight as traders square up their results for the year. Both Wall Street and Europe saw the same losses – around 0.75% or so – on stock markets, while oil and gold prices were steady. Volume still remains pretty low and won’t return to normal until next week at the earliest.

Looking at Asian share markets from yesterday where the Shanghai Composite closed 1% higher, bouncing off the long held 3000 point resistance level and close at 3040 points, while the Hang Seng Index closed up half a percent or so to be at 28346 points as it blast right by the previous October highs. Momentum is quite positive so we are likely to see a further advance in the new year:

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