By Chris Becker
Market reaction was dominated by the oil price fallout in the US as the WTI futures contract went negative as it became a victim of its own supply. Brent crude fell over 6% to match its previous lows, as other industrial commodities also slipped as Wall Street took the blunt and a reminder that the macro picture matters more than the ranting man with a Sharpie. Currencies were somewhat subdued again, although gold fought back against USD, and the Loonie went back to a new weekly low due to the oil price chaos.
Looking at Asian share markets from yesterday where the Shanghai Composite closed 0.5% higher at 2852 points while the Hang Seng Index slipped a little, finishing 0.2% lower at 24333 points, getting stuck here on the daily chart. The breakout is slowing down to say the least, and while support at the 23000 point level is quite firm, daily momentum just can’t turn positive here with resistance overhead (short black line) at the 24600 point level unable to be breached:
