Everything is awesome on an alleged deal between the Trump and Xi regimes over trade, but the lack of solid news isn’t holding markets back with Asian shares all green while futures for Wall Street are looking sky high. Friday night’s US CPI print is keeping the USD somewhat down against the majors as expectation of a cut from the Fed builds with the Australian dollar finally breaking out significantly above teh 65 cent level in today’s session.
Oil markets are holding on to their recent breakout with Brent crude staying above the $65USD per barrel level while gold is barely staying on its stabilising path after its correction, now breaking below the $4100USD per ounce level:
Mainland Chinese share markets are lifting strongly going into the close with the Shanghai Composite about the break the 4000 point barrier while the Hang Seng Index is up 1% to 26422 points. Japanese stock markets are rebounding the strongest with the Nikkei 225 up more than 2% to break the 50000 point level while the USDPY pair has broken through the 153 level:
Australian stocks were the worst performers but the ASX200 actually managed a solid finish, some 0.4% higher at 9054 points while the Australian dollar has successfully breached resistance above the 65 cent level against USD:
S&P and Eurostoxx futures have jumped higher on expectation of a deal-deal as we head into the London session with the S&P500 four hourly chart showing the market breaking out above resistance at the 6800 point level:
The economic calendar includes the closely watched German IFO survey, then US durable goods orders.