See the latest Australian dollar analysis here:
Stock markets continued to have divergent fortunes across Asia with only mainland Chinese shares advancing, despite a massive drop in Evergrande shares and bonds while Japanese political machinations continue to unravel. Risk currencies were basically unchanged, as was Bitcoin as it remained just above the $46K level while gold is really struggling here after breaking below the $1800USD level previously, currently at $1791 and finding only a modicum of support:
The Shanghai Composite was able to climb slightly, finishing nearly 0.5% higher to 3693 points while the Hang Seng Index was put in sudden reversal mode, falling over 2% to close at 25787 points. Japanese stocks finally took a breather after its epic run higher with the Nikkei 225 finishing 0.6% lower at just above 30000 points:
Australian stocks had some of the steepest falls with the ASX200 selling off sharply to close nearly 2% lower at 7369 points while the Australian dollar finally paused the deflation from its Friday night over-reach, finding some support at the 73.70 level as short term support builds:
Eurostoxx and S&P futures are down nearly 0.7% going into the London open, with the four hourly chart of the S&P500 showing price wanting to break below the 4500 point level, as momentum remains oversold and European stocks looking to drag risk taking back once more with US stocks following:
The economic calendar ramps up with the latest ECB interest rate meeting and subsequent press conference, followed by US initial jobless claims.