Asian share markets are very mixed across the region, with only mainland shares in China rebounding as other markets continue to reflect volatile risk sentiment on overnight volatility. The Yuan dropped further today on more concerns about Chinese growth while other currency markets are seeing continued firming in USD although Yen is lifting on Governor Kuroda comments about inflation. Oil prices are inching higher, with Brent crude now hovering just above the $116USD per barrel level while gold is falling back to retrace below the $1850USD per ounce level, having lost all its gains for the week now:
Mainland Chinese share markets have continued their rebound with the Shanghai Composite up 0.5% to 3123 points while the Hang Seng Index is falling back again, down nearly 1% to retrace back below the 20000 point level. Japanese stock markets remain on the defence as well, with the Nikkei 225 index losing nearly 0.3% to close at 26604 points while the USDJPY pair has given back some of its overnight gains, still dicing with the 127 level as Yen defensive buying has not yet abated:
Australian stocks pulled back throughout the session with the ASX200 finishing 0.7% lower at 7105 points, and just keeping the key 7100 point support level intact. Meanwhile the Australian dollar can’t get back above the 71 handle against USD following yesterday’s rate rise from the RBNZ plus the FOMC minutes overnight as weakness is creeping in at significant resistance at that level:
Eurostoxx and Wall Street futures are slowly rising as we head into the European open with the S&P500 four hourly chart showing price wanting to get back towards the key 4000 point level as intrasession volatility is building again:
The economic calendar will focus squarely on the 2Q GDP estimates for the US economy tonight, followed by pending home sales data.