See the latest Australian dollar analysis here:
Its not quite fully risk back on yet, although Asian share markets are in the main rebounding in response to a big buy the dip rally on Wall Street overnight, while risk currencies remain stalled in the wake of still strong USD. The VIX is pulling back from its rapid rise while gold and silver remain flat lined. Bitcoin is also struggling after its near 10% drop overnight, now below the $33K level again:
The Shanghai Composite finally found some life with a 0.7% surge higher to 3553 points, while the Hang Seng Index stood out by pulling back a little, currently 0.2% lower at 28430 points. Japanese stocks volatiltiy continues to be epic with the Nikkei 225 closing over 3% higher to 28884 points as the USDJPY pair lifts throughout the day to remain well above the 110 handle:
Australian stocks rebounded in kind with the ASX200 able to take back most, but not all of the previous losses, closing 1.5% higher at 7342 points while the Australian dollar was unable to hold on to its meagre overnight gains, falling back towards the 75 handle as momentum remains in a negative funk:
Eurostoxx and S&P futures are still trying to recover lost ground going in the London open with the four hourly chart of the S&P500 showing last night’s big bounce still having a modicum of momentum after being extremely oversold. The question is can it clear previous resistance at the 4230 point level that failed on Friday night:
The economic calendar ramps up with the latest Redbook figures and May existing home sales in the US.