See the latest Australian dollar analysis here:
Stock markets had divergent fortunes across Asia as the wobbles on Wall Street extended to the region today, although Japanese stocks continued their epic surge. Risk currencies continue to pull back with the Aussie dollar still well under the 74 cent level vs USD while gold is struggling to get back above the $1800USD per ounce level. All the volatility remains in Bitcoin however with its flash crash overnight turning into more downside today, falling back to the $46K level this afternoon:
The Shanghai Composite paused its recent surge, finishing flat but still well above the 3600 point level at 3675 points while the Hang Seng Index pulled back further, down 0.3% to 26281 points. Japanese stocks remain the standout however with the Nikkei 225 finishing 0.9% higher to break above 30000 points:
Australian stocks followed Chinese bourses with the ASX200 again down 0.3% to close at just above 7500 points while the Australian dollar continues to deflate from its Friday night over-reach, now down to the 73.70 level after breaking through the 74 handle yesterday, setting up for further falls as short term support evaporates:
Eurostoxx and S&P futures are down at least 0.2% going into the London open, with the four hourly chart of the S&P500 showing price hovering just above the 4500 point level, wanting to re-engage but momentum remains oversold with European stocks looking to drag risk taking back:
The economic calendar is very quiet tonight with some US consumer credit data and not much else.