See the latest Australian dollar analysis here:
Risk took a calm sigh here today in Asia as the relief rally widened, with stocks rallying hard alongside risk proxies like USDJPY. The PBOC daily Yuan fix saw a big drop in offshore trading, down to the 6.92 level and almost a yearly low while the latest Australian trade balance figures didn’t effect the Aussie dollar.
The Shanghai Composite zoomed higher, up nearly 0.8% to 3072 points, while the Hang Seng Index advanced even further, gaining some 1.2% to be at 28412 points after bouncing off daily support:
Japanese share markets continued their high volatility but it was all upside today as Yen sold off violently. The Nikkei 225 closed over 2% higher to 23712 points. The four hourly chart of the USDJPY pair shows a big leap off the former lows that has extended past the 109 handle, almost back to the post Xmas breakdown highs:
The ASX200 was the worst in the region, but its all relative, closing 0.8% higher to 6874 points. The Australian dollar remains stuck in a holding pattern post the Iran attacks and is positioning for tomorrow nights NFP print hovering right on the 68.70 level against USD going into the City open:
Both S&P and Eurostoxx futures are suggesting a small lift higher tonight after the big relief rally previously with the S&P500 likely to build above its previous record high level once more:
The economic calendar includes a few mid tier European releases plus a speech by Governor Mark Carney in England, plus US initial jobless claims in the lead up to tomorrow nights NFP print.