The retracement meme continues as trading positions pullback from extremely overbought levels post the vaccine news across the region with the USD largely unchanged after gaining strength against most of the majors after last night’s US CPI print. Gold is still under enormous pressure here after its big retracement, hovering slightly below the $1880USD per ounce level:
The Shanghai Composite is selling off fast again, this time down 0.7% going into the close, currently at 3313 points while in Hong Kong the Hang Seng Index is off 0.5% to be just above 26000 points. Japanese stock markets have finally stumbled with the Nikkei 225 down over 1% to 25263 points going into the close while the USDJPY pair has given up more ground to be under the 105 handle:
The ASX200 has continued its selloff, down just under 0.5% to currently sit at 6393 points while the Australian dollar continues its own rollover after pushing well below the 73 handle overnight, sitting right on daily support here as momentum goes negative:
Eurostoxx and S&P futures are in a holding pattern here with the four hourly chart of the S&P500 trying to stabilise right on its October highs at the 3500 point level but short term momentum is waning, so watch for support to come under pressure:
The economic calendar finishes the week with EZ wide GDP for Q3, then the closely watched Uni of Michigan consumer sentiment survey.
Have a good weekend and stay safe!
NB: picture above is Queen Charlotte Sound, NZ.