Macro Afternoon

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A fairly mixed end to the trading week here in Asia following last night’s US inflation print and the latest ECB meeting which embiggened US stocks to new highs but hasn’t quite translated into firm moves across other stock markets so far. The USD is losing ground against all of the majors, but particularly Euro and Pound Sterling going into the London session as gold nudges back above the $1900USD per ounce level. Meanwhile Bitcoin is consolidating here after pushing up through the $38K level but can’t make a new weekly high as it reverts back to its start of week position as another line of resistance builds:

The Shanghai Composite is about 0.5% lower, retracing back below the 3600 point level as Yuan appreciates against USD while the Hang Seng Index is doing a lot better, up 0.5% to finish at 28902 points. Japanese stocks are in hesitation mode yet again as Yen becomes stronger, with the Nikkei 225 closing with a scratch session at 28948 points as the USDJPY pair pulls back below the 109.50 midzone after its very mild breakout overnight, with momentum remaining in the negative zone:

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Australian stocks cap off a solid week with the ASX200 closing 0.1% higher and remaining above the 7300 point level at 7312 while the Australian dollar finally aligns with other major currencies and is lifting against USD to push above the mid 77 level but still a smidge below its intrasession and previous weekly highs that are acting as resistance:

Eurostoxx and S&P futures are steady going in the London open with major currency strength holding back Euro bourses while the four hourly chart of the S&P500 showing a desire to advance on last night’s record high:

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The economic calendar finishes the week with UK GDP figures, then the US Michigan consumer sentiment survey.

Have a good weekend and stay safe (and south of the border please Victorians!)

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