Asian stock markets are surging higher on rumours around the Chinese response to the growing COVID protests. The USD is backpedalling after regaining some strength against the currency majors overnight with the Australian dollar back above the 67 cent level. Oil prices are trying to get out of their own slump with Brent crude lifting above the $85USD per barrel level while gold is also bouncing back, currently at the $1753USD per ounce level:
Mainland Chinese share markets are doing really well going into the close with the Shanghai Composite up more than 2% at 3144 points while the Hang Seng Index is stonking it in, up more than 4% to get back over the 18000 point barrier! Japanese stock markets are the laggards with the Nikkei 225 closing 0.5% lower at 28027 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 able to finish slightly higher, despite the falls on Wall Street overnight with the ASX200 finishing up 0.3% to 7253 points. The Australian dollar dropped slightly on the Sydney open but has rallied straight through into the 67 handle, although short term momentum still looks anemic here:
Eurostoxx and US futures are rebounding following last night’s romp, but its all relative with the S&P500 four hourly chart showing price action still below the 4000 point level as support seems firm at the 3950 point level below:
The economic calendar includes the latest German inflation print, then US house prices and consumer confidence numbers.