Asian stock markets have ignored the poor leads from overnight markets where fears of the US recession continue to mount while local shares are holding steady. Currency markets are seeing a pullback in the USD as the Australian dollar stays above the 69 cent level while oil prices are edging slightly higher with Brent crude just above the $86USD per barrel level. Gold is holding on to its outsized overnight gains, ready to explode higher again above the $1930USD per ounce level:
Mainland Chinese share markets are lifting again going into the close with the Shanghai Composite currently 0.5% higher to remain above the 3200 point level at 3257 points while the Hang Seng Index is doing even better, currently up 0.7% at 21817 points. Japanese stock markets are treading water with the Nikkei 225 currently up a handful of points to 26404 points with the USDJPY pair lifting slightly off the deck but still looking depressed here above 128 handle:
Australian stocks continued to outperform with a small lift in mid afternoon trade, as the ASX200 climbs 0.2% higher at 7437 points. The Australian dollar is also trying to clawback its recent moves lower, now hovering just above the 69 handle above last weeks low:
Eurostoxx and US futures are drifting lower as the S&P500 four hourly chart shows price action still quite depressed after the overnight selloff, holding at the 3920 point level and well below the psychologically important 4000 point zone. Short term momentum is extremely oversold but short and medium term support has evaporated, signalling weakness ahead:
The economic calendar finishes the week with UK retail sales plus US existing home sales.