Only Chinese share markets are rebounding here in Asia as risk sentiment remains negative as the trading week struggles to get a move on despite some strong economic data from the US. The USD has given up a small amount of ground but remains strong following the upside surprise in the jobs print on Friday night while the Australian dollar had a modest bounce following the RBA’s hold at its meeting this afternoon.
Oil prices are reducing in volatility which means expect more volatility soon as tensions in the Middle East reman high with Brent crude barely holding above the $77USD per barrel level while gold is also holding on as the best undollar of the bunch, firming at the $2030USD per ounce level:
Mainland Chinese share markets are bouncing back after selling off sharply with the Shanghai Composite moving nearly 3% higher to 2781 points while in Hong Kong the Hang Seng Index is up nearly 4% to 16096 points. Japanese stock markets however couldn’t find any confidence in the wake of some BOJ banter, with the Nikkei 225 closing 0.6% lower at 36131 points while the USDJPY pair is just holding on to its big reversal from Friday night, currently just above the 148 level:
Australian stocks fell again without a positive lead from the RBA as the ASX200 closed nearly 0.6% lower at 7581 points while the Australian dollar managed a bounce in the wake of the meeting, after over-correcting post the NFP print on Friday that saw it fall through the 65 cent level:
S&P and Eurostoxx futures are holding on to their overnight positions going into the London session as the S&P500 four hourly chart shows price action trying to get back on trend as it reaches for the 5000 point level:
The economic calendar includes Euro wide retail sales for December, then quite a few Fed speeches before the RBNZ meeting very early tomorrow morning.