The lift from ECB rate hike to Euro was rather brief yesterday. The common currency remains range bound again most currencies and turns slightly softer today. Dollar, on the other hand, is regaining some ground with Canadian and Swiss Franc. Overall, the greenback is still the weakest one for the week, followed by Yen. Aussie is the strongest, followed by Canadian. There is prospect of reinforcing the positions if global stock markets can surge before weekly close, after all major even risks are past. Technically, one focus is on Gold, which dipped to as low as 1680.63 yesterday, but rebounded quickly from there. It's now back above 1700 handle. We'd maintain the view that 1682.60 long term level should provide strong support to complete the fall from 2070.06. Break of 1745.21 resistance will be the first sign of bullish reversal. Let's see if that will happen within the next few days. In Asia, at the time of writing, Nikkei is up 0.50%. Hong Kong HSI is down -0.22%. China Shanghai SSE is down -0.54%. Singapore Strait Times is up 0.82%. Japan 10-year JGB yield is down -0.0170 at 0.224. Overnight, DOW rose 0.51%. S&P 500 rose 0.99%. NASDAQ rose 1.36%. 10-year yield dropped -0.126 to 2.910. |
