Not a lot of action across risk markets here in Asia with mainland Chinese and Japanese markets closed for at least the first half of the week. The latest round of manufacturing PMIs saw the USD gain against all the majors and apart from the usual weekend gap volatility, this has continued. In crypto land, Bitcoin has doubled down on its Friday night surge, getting above the $58K level this afternoon for a new two week high as it wants to get back to its previous highs above $60K quicksmart:
With the Shanghai Composite closed it was all eyes on the Hang Seng Index today which continued its Friday afternoon breakdown, losing nearly 1.5% to be at 28289 points and wiping out the last two months of very modest gains. This puts momentum well into the oversold zone and we could see a retest of the March low at the mid 27000s:
The ASX200 shot out of the gates at the open unexpectedly before putting the brakes on to finish with a scratch session, just above the 7000 point level while the Australian dollar did the same on the weekend gap, zooming higher to ameliorate its Friday slashing, but has comeback to the 77 handle and almost back to the weekly lows:
Eurostoxx and S&P futures are pulling back with London closed for a bank holiday with the four hourly chart of the S&P500 showing price continuing its Friday night hesitation below the 4200 point level, wanting to get back to its previous record high, but momentum readings point to sideways action at best:
The economic calendar starts the week with one major release to watch out for, the latest US ISM Manufacturing PMI, plus some Treasury auctions and a speech by Fed Chair Powell.