Asian stock markets are being more cautious and playing the waiting game after a very poor start to the trading week in the wake of continued selloffs on Wall Street. The Australian dollar can’t find a bid, still hovering above the 62 cent level versus USD while other major currencies also remain weak. Oil prices are trying to stabilise following more Saudi Arabian shenanigans (read: supporting their scummy terrorist peers) on the back the recent OPEC production cuts, with Brent crude still above the $95USD per barrel level while gold is trying not to make another new daily low here, still crushed below the $1700USD per ounce level, currently at $1669:
Mainland Chinese share markets lifted sharply after the lunchbreak with the Shanghai Composite up 0.2% to 2986 points, still unable to get back above the 3000 point barrier while the Hang Seng Index remains in sell mode, closing 1% lower to solidify its break below the 17000 point level. Japanese stock markets were hesitant with Nikkei 225 closing dead flat after a previous thrashing, closing at 26396 points, while the USDJPY pair has finally broken above the 146 level as USD proves too strong against any defensive Yen bid:
Australian stocks again escaped a major selloff event, instead the ASX200 finished dead flat but still below the 6700 point level, closing at 6647 points. The Australian dollar is trying to build support at the 62 handle after making a new two year low and at least is not making any further four hourly session lows for now:
Eurostoxx and US futures are drifting sideways as we head into the London session, with the S&P500 four hourly futures chart showing price action still hesitating here just above the 3600 point level. Medium term and possibly psychological long term resistance at the 4000 point level is now a distant memory as momentum and price action are pointing to a return to the previous lows, and possibly the June lows after the NFP print:
The economic calendar includes the latest UK GDP print, then the September US PPI index plus the most recent FOMC meeting minutes.