Market Brief
The Nikkei 225 is up 2.7% this morning, the Hang Seng is up 3% and the same is for the other Asian indices this morning. Wall street’s epic and historic 11% bounce back to end the day over 6.5% higher. Currencies reacted strongly on the back of this news, the dollar Losing substantial ground to other majors as a result – except for the Japanese yen which lost almost 2% on the move.
Sterling was exceptionally volatile in the Asian session, strong and broad moves bringing the cable pair down from 1.4905 to 1.4790 before retracing to 1.4870 then down again. These moves take root and suffer in the wake of this week’s BoE inflation report – however some say that the BoE is the only central bank that’s divulging just how serious the situation is. Traders will have to take heed of this and the fact that it’s technically oversold.
The Dollar’s weakness last night was mainly down to risk aversion and a renewal of carry trades, however the current levels for the Yen seem unsustainable – 108 and 90 are a short term target for the EURJPY and USDJPY respectively.
Commodities and energy stocks are higher today, a vast contrast to what we were privy to yesterday. This was mainly brought on by the vast rally in crude price, jumping near $4/bbl from $54.60 to $59.80 and is now trading at $57.66.
| Global Indexes | Current Level | % Change |
| Nikkei 225 Index | 8462.4 | 2.71 |
| Hang Seng Index | 13620.25 | 3.02 |
| Shanghai Index | 1961.4 | 1.75 |
| FTSE futures | 4166.5 | -0.04 |
| DAX futures | 4661.5 | -0.04 |
| DJIA futures | 8757 | -0.83 |
| Nasdaq futures | 1228.5 | -0.49 |
| World Markets | Current Level | % Change |
| Gold | 728.33 | -1.11 |
| Silver | 9.245 | -2.07 |
| VIX | 59.83 | -9.98 |
| Crude wti | 58.03 | -0.36 |
| USD Index | 86.79 | -0.17 |
| Todays Calender | Estimates | Previous | Country / GMT |
| Euro Zone GDP | -0.10% | -0.20% | EUR / 10:00 |
| Euro Zone CPI | 0.10% | 0.20% | EUR / 10:00 |
| US Advance Retail Sales | -1.40% | -1.20% | US / 13:30 |
| US Retail Sales Less Autos | -1.00% | -0.60% | US / 13:30 |
| US U. of Michigan Confidence | 56 | 57.6 | US / 15:00 |
Currency Tech
AUDUSD
R 3: 0.7065 R 2: 0.7015
R 1: 0.6758
CURRENT: 0.6524
S 1: 0.6390
S 2: 0.6339
S 3: 0.6009
EURJPY
R 3: 128.44
R 2: 125.48
R 1:; 123.20
CURRENT: 123.15
S 1: 119.10
S 2: 120.00
S 3: 115.00
USDSGD
R 3: 1.5304
R 2: 1.5161
R 1: 1.5150
CURRENT: 1.5143
S 1: 1.4875
S 2: 1.4772
S 3: 1.4647
- S: Strong, M: Minor, T: Trendline, K: Keylevel, P: Pivot
