A modest start to the week as Chinese equity markets react to the wet lettuce rhetoric from Trump on China’s boot on Hong Kong’s neck as most capital cities in the US burn, which should send housewares/DIY/retail stocks up when Wall Street opens later tonight. The USD is falling sharply, particularly against the Aussie dollar, now zooming to a fiver month pre-Covid-19 high above 67 cents.
In mainland China, the Shanghai Composite is up more than 2% in reaction to the non-reaction from the US on trade disputes with Hong Kong, currently at 2911 points, while the Hang Seng Index gapped over 3% higher to 23735 points. This brings price well back above previous firm support at the 23300 point level, after briefly toying with breaking back down to the March lows, but not yet out of the woods:
Japanese share markets also had a solid day despite a stronger Yen with the Nikkei 225 up another 0.8% to 22062 points, while the USDJPY pair began the Monday morning gap basically where it started on Friday night but has sharply retraced to the mid 107’s as USD weakens against everything:
The ASX200 popped back above the 5800 point level with a 1% rise to close at 5819 despite the Aussie dollar reaching for the stratosphere with a big surge up through the 67 handle and off to the moon as USD weakness widens:
Eurostoxx futures are up 1.2% or so with S&P futures gapping lower at the start of the session, but now flat as Wall Street discounts all the pain and suffering across the US – oh and the continue first wave of COVID-19 – and buys up broken window stocks:
