See the latest Australian dollar analysis here:
Asian stocks are having a very mixed end to the trading week with Chinese stocks pulling back strongly on the poor US GDP rpint, while Australian markets are having grand time to push the ASX200 above 6900 points. Market’s are still absorbing the latest Fed rate hike and subsequent slowdown signaling with the USD losing the most ground against Yen as the Australian dollar holds just above the 70 level. Mean while oil prices are slowly going nowhere with Brent crude hovering at the $102USD per barrel level, while gold has pushed higher in the Asian session to reach the $1760USD per ounce level to make a two week high:
Mainland Chinese share markets are sliding fast going into the close with the Shanghai Composite down more than 0.7% at 3258 points while the Hang Seng Index is now in full reverse mode, losing more than 2%, currently at 20105 points. Japanese stock markets are slipping as the higher Yen weighs, with the Nikkei 225 down 0.3% to 27751 points as the USDJPY pair drops sharply down to the 133 level as Yen buyers step in amid the renewed USD weakness for a new low:
Australian stocks are having another very solid lift from the Fed rate hike fallout with the ASX200 about to close nearly 1% higher to push through the 6900 point level, currently at 6954 points. The Australian dollar has again tried to punch through the 70 handle but hasn’t really advanced on last night’s post Fed move as momentum remains nicely overbought:
Eurostoxx and US futures are holding on to their overnight gains with the S&P500 four hourly futures chart showing price action wanting to continue its breakthrough above the 4000 point level to continue this relief rally:
The economic calendar does not end the week quietly, with German unemployment, Euro wide core inflation, then US Core PCE and consumer sentiment. That’s a mouthful!