Well it’s been a fun ride this week and it continues with another 3-4% selloff across the board today as fear turns to panic. Gold remains relatively steady but other safe havens are seeing bids with bond yields dropping and Yen soaring higher. This is indeed correction territory.
The Shanghai Composite is playing catch up and is currently down near 3.5% to 2890 points while the Hang Seng Index is off by “only” 2.5% to 26108 points, matching January’s low:
Japanese share markets continue to steeply selling off due to a big increase in Yen buying with the Nikkei 225 falling over 4% to 21054 points in a major rout. The USDJPY pair is falling through the floor, flopping to the 109 handle and a new monthly low:
The ASX200 can’t escape the carnage, down 3.5% going into the close at 6433 points as the depressed Australian dollar makes another daily/weekly/monthly/yearly low, almost hitting the 65 cent level:
Eurostoxx and S&P futures continue to sell off sharply with the four hourly chart of the S&P500 showing no buying at all, with the nearest support level still far away at the 2019 low at 2700 points:
The economic calendar finishes the week with German unemployment and CPI prints for February followed by the US advanced good trade balance and PCE Core expenditure for January, but will likely be all overshadowed by the continuing fear over the coronavirus.
Have a good weekend and stay safe – don’t cough on each other!