Asian stock markets are starting the new trading week in a bad position, reacting to the growing COVID protests in China. The USD is regaining some strength against the currency majors with some significant gap downs over the lack of weekend trade, with Euro breaking below the 1.04 level while the Australian dollar was down sharply below the 67 cent level on the open and hasn’t recovered. Oil prices are slumping fast with Brent crude about to hit the $80USD per barrel level while gold is barely holding on here, listless at the $1750USD per ounce level:
Mainland Chinese share markets are doing poorly going into the close with the Shanghai Composite down 1.3% at 3057 points while the Hang Seng Index is pulling back even more so, currently down over 2% to 17182 points. Japanese stock markets are faltering again as we start another trading week with the Nikkei 225 closing 0.5% lower at 28132 points while the USDJPY pair has stayed depressed below the 139 handle, still in sell mode after last weeks turnaround in USD:
Australian stocks were unable to put off the selling, taking back the Friday advance with the ASX200 finishing 0.4% lower at 7229 points. The Australian dollar gapped sharply lower over the weekend, breaking below the 67 handle and barely holding on here going into the London session as it fails again to crack the 68 level:
Eurostoxx and US futures are falling after the weekend gap and the unsteady trade following the Thanksgiving holiday with the S&P500 four hourly chart showing price action retracing back down to the 4000 point level as support seems firm at the 3950 point level below:
The economic calendar starts the week quietly with a few speeches from the Bundesbank, ECB and elsewhere.