Its a day of retracement as expected across risk markets here in Asia following big surges across stocks, commodities and non-USD currencies after the US election. Traders are now gearing up for tonights US unemployment print that will likely come down at the same time Trump loses the election in Pennsylvania. Gold has slipped after surging well above the $1950USD per ounce level but still looks solid here post the FOMC meeting where QE remains in place and might have to be expanded with a deadlocked US Senate:
The Shanghai Composite was falling fast towards the close, but has recovered somewhat to be only 0.2% lower at 3310 points while in Hong Kong the Hang Seng Index is putting in a scratch session after its epic rise this week, closing 0.1% lower at 25671 points. Japanese stock markets still want to go higher though, with the Nikkei 225 closing 0.9% higher at 24325 points while trading in the USDJPY pair has seen a pause in the large selloff in USD, still at a new monthly (and yearly) low at the 103.50 level:
The ASX200 has finished the week with a very solid session, closing 0.8% higher to 6190 points while the Australian dollar is steady here at the 72.60 level in a very minor retracement, able to hold on to its post election gains for now:
Eurostoxx and S&P futures are pulling back in line with other risk assets but its all relative with the four hourly chart of the S&P still showing an exhaustion developing here as we all await for the counting to finally finish in the contested US election:
The economic calendar finishes this unreal week with the most important event on the calendar – US unemployment or non-farm payrolls.
Stay safe and have a good weekend!
EDIT: stuff it, we need some humour after this week – here’s some nice election memes….all balanced and fair of course!
