See the latest Australian dollar analysis here:
A more positive tone is setting in across stock markets in Asia following quite a mixed week so far as we all anticipate the Fed’s next move after tonights latest US inflation print. The ECB is meeting as well but seems to have been factored in, although USD is gaining ground against both Euro and Pound Sterling going into the London session. Gold remains well under the $1900USD per ounce level while Bitcoin is running out of puff following its swing play from the $30K bottom, currently stalling out here at the $36K level:
The Shanghai Composite has closed 0.5% higher to finally get back above the 3600 point level while the Hang Seng Index is putting in a scratch session to finish at 28713 points. Japanese stocks have finally found some upside with the Nikkei 225 closing 0.3% higher at 28958 points even as the USDJPY pair pulls back down to the 109.50 midzone after the very mild breakout overnight, with momentum again getting into the negative zone ahead of tonight’s US inflation print:
The ASX200 has pushed through the 7300 point level, gaining some 0.4% to close at 7302 points while the Australian dollar is the odd undollar out by putting on some gains to almost get back to the mid 77 level but still well off the previous weekly highs that are acting as resistance alongside the medium term downtrend from the start of the year:
Eurostoxx and S&P futures are sliding down again going in the London open with the four hourly chart of the S&P500 still unable to advance past the previous record high, as there seems to be an anchor here at the 4230 area with momentum no longer overbought and ready to invert:
The economic calendar is action packed tonight with the ECB interest rate meeting then the May inflation print in the US.