Risk markets remain rattled overnight as the debt contagion from the Chinese property market intersects with more inflation worries in the US. The USD again was strong against everything undollar while Wall Street and European shares sold off, with futures indicating more downside in Asian equities here on the open this morning. The Australian dollar was pushed below the 64 cent handle where it sits this morning.
US bond markets again saw a lift across the yield curve with the 10 year Treasury pushing above the 4.25% level while oil prices moderated after a recent selloff with Brent crude slightly below the $84USD per barrel level. Gold remains below the $1900USD per ounce level with another big selloff in line with the other undollars.
Looking at share markets in Asia from yesterday’s session with mainland Chinese share markets are rebounding with the Shanghai Composite up over 0.4% at 3162 points while in Hong Kong the Hang Seng Index finished steady at 18345 points.
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