See the latest Australian dollar analysis here:
It’s not been the red day for stock markets here in Asia that traders expected given the shooting off the mouth tweets overnight from Trump that sent Wall Street a flutter. Some walking back has seen some of the losses abated, with a positive response to the new Budget locally sending the ASX200 much higher. The USD has weakened slightly against the undollars, with hard hit gold trying to re-gain its lustre from last night’s big fall below the $1900USD per ounce level:
The Hang Seng Index continued its own advance, up 0.8% to 24181 points while Japanese stock markets were relatively flat with the Nikkei 225 closing a handful of points lower at 23429 points. Meanwhile the USDJPY pair is ready to go risk on again, getting back to its previous session highs (black horizontal line) after being pushed down to the mid 105 level overnight:
The ASX200 had a very solid session, doing the best in the region on the very GDP positive Budget, gaining some 1.3% to finish at 6036 points. The Australian dollar clawed back half of its losses from overnight, currently at the low 71’s as The City opens:
Eurostoxx and S&P futures are up 0.4% or so with the S&P500 four hourly chart looking to get back above the 3400 point level as expectations of some sort of punchbowl fill-up coming down the pike:
The economic calendar will include the release of the previous Fed minutes from the FMOC meeting which could be USD sensitive.