Macro Morning

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By Chris Becker 

Last night saw a small return to risk taking late in the session following another dire initial jobless claims print in the US, as Wall Street continues to ignore the stark risks given by multitudes of viral scientists and the equally stark data coming out of “open for business” states like Texas where the second wave of COVID-19 gathers apace. USD was mixed against the majors following the print, with Yen selling off while Euro lifted off the deck, as gold broke out and matched its previous monthly high.

Looking at share markets from yesterday where in mainland China, the Shanghai Composite closed down nearly 1% to 2870 points, while the Hang Seng Index was off by around 1.4% to 23829 points, holding just above the recent daily lows as resistance proves too strong overhead. This very considerable resistance at 24800 points is pushing the market back down to its recent lows with the potential to break below daily support at 23200, but note that daily momentum remains positive and the long tail of intrasession buying:

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