As markets continue to discount the shitshow that is the US presidential election, shares across Asia retreated with broad losses, as the very positive start on Monday becomes a distant memory. The USD is clawing back its recent losses on the risk aversion trade with gold moving lower to the $1886USD per ounce level:
In mainland China, the Shanghai Composite is down 0.4% to 3211 points while in Hong Kong the Hang Seng Index is the only bourse in the green, up 0.4% at 23337 points. Japanese stock markets are sharply down with the Nikkei 225 closing 1.5% lower at 23185 points as Yen buying becomes dominant, with the USDJPY pair reversing almost all of its gains so far this week to the low 105s:
The ASX200 was the worst off as Aussie traders shook their collective heads at the orange pigeon dance, selling off more than 2% to close at 5815 points, while the Australian dollar slid back towards the 71 handle after its small stall overnight:
Eurostoxx futures are down 0.8% while US futures are off at least 1% with the S&P500 four hourly chart indicating a larger than expected rollover here on exasperation – watch the 3300 point level closely tonight:
The economic calendar has two major releases that could shake markets tonight, namely German (and hence European) unemployment and the 2Q GDP print in the US.