By Chris Becker
Risk markets were in relief mode last night as the teleprompter did the talking for Trump, easing off on strikes against Iran, which sent the USD higher against nearly everything and pulled out the stops on Wall Street, although defense stocks were disappointed. Bond yields are higher, while the USDJPY proxy jumped with futures pointing to a similar relief rally here in Asia on the open.
Looking at Asian share markets yesterday where the Shanghai Composite closed 1.2% lower to 3066 points, while the Hang Seng Index fell nearly the same, just hanging on above 28000 points and above daily support. The daily chart shows price action hovering on daily support, but momentum is still in overbought mode which should support a relief move higher today:
