Asian markets tumble broadly, partly as reactions to Japan's export controls on certain Korean semiconductor materials. Also, the weakness is partly due to adjustment in expectations on Fed's rate cut this month, after Friday's solid US job data. Though, the currency markets are steadily mixed. Yen is one of the strongest among Australian and New Zealand Dollar. Sterling and Euro are among the weakest. Yet, Dollar is also soft, paring some of last week's gains. The greenback's fate will very much depends on Fed Chair Jerome Powell's testimony and FOMC Minutes scheduled for the week. Technically, Dollar pairs will remain the major focuses today. In particular, EUR/USD is looking at 1.1181 support to confirm near term weakness for 1.1107 low. AUD/USD is looking at 0.6956 minor support to confirm completion of rebound form 1.6831. USD/JPY is still looking at 108.80 resistance to confirm near term reversal. USD/CAD is staying in tight range below 1.3145 minor resistance without confirming short term bottoming at 1.3037 yet. In Asia, Nikkei closed down -0.98%. China Shanghai SSE closed down -2.58 at 2933.36, below 3000 handle. Hong Kong HSI is down -1.66%. Singapore Strait Times is down -1.20%. Japan 10-year JGB yield is up 0.0124 at -0.151. |
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