Asian equities are bouncing back following last night’s FOMC meeting, where the taper was confirmed but not brought forward as risk expectations and sentiment start to settle yet again, getting Wall Street out of its minor funk. The USD remains relatively firm against most of the risk currencies although gold is failing to find support yet again, with Bitcoin re-engaging to the upside in a classic swing trade higher, now back above the $44K level but not clearly recent resistance levels:
The Shanghai Composite had a mild uptick despite the big Evergrande boost, closing 0.4% higher at 36429 points with the Hang Seng Index reopened and launched 1% higher to finish at 24458 points but is still not yet out of trouble, while Japanese markets were closed:
Australian stocks put in a very solid session, with the ASX200 finishing exactly 1% higher at 7370 points but still just short of previous medium term support as the Australian dollar was unable to get out of its funk, with price seemingly anchored here at the mid 72 level:
Eurostoxx and S&P futures are up more than 0.8% as sentiment increases, with the four hourly chart of the S&P500 showing price breaking through previous ATR trailing resistance, now above the previous dead cat bounce and previous support level at 4400 points:
The economic calendar pivots to the latest round of Markit PMIs and the BOE interest rate meeting tonight, followed by US initial jobless claims.