Asian stocks are still not responding in kind to Wall Street’s post-US unemployment rally from Friday night with uneasiness over COVID’s delta variant continuing to weigh. Bitcoin is trying again to get back its weekend gains with a small surge above the $34K level but its failing to stick while gold cracks above $1800USD per ounce again:
The Shanghai Composite is still selling off, down 0.4% to be at 3518 points while the Hang Seng Index is going further again, this time down 045% to 28041 points. Japanese stocks are surging back however with the Nikkei 225 currently up 0.3% at 28687 points as the USDJPY pair continues to deflate but decelerating as it finds a little support below the 111 level here:
Australian stocks are falling back slightly following the RBA meeting with the ASX200 currently down 0.3% to 7292 points going into the close. Meanwhile the Australian dollar is shooting higher on the language from RBA-land with a big surge off the mid 75 handle this afternoon that’s almost taking it back to the previous weekly high:
Eurostoxx and S&P futures are quite flat going into the London session with the four hourly chart of the S&P500 suggesting short term price action continues to be overextended here past the 4300 point level. The return of US traders tonight could also see the ebullience to the market, but there’s always the potential for a retracement back to ATR trailing support but highly unlikely:
The economic calendar includes the closely watched German ZEW Survey, then the US non-manufacturing PMI for June.