Dollar is set to end the week as the week as the worst performing as corrections in the financial markets extend. Asian indices are generally higher following another day of strong close in the US overnight. Yen follows Dollar as the second weakest naturally as risk aversion eased. Meanwhile, Sterling is surprisingly the strongest one for now, followed by Australian Dollar and then New Zealand. Gold is staying firm above 1500 handle for now while WTI crude oil is in range above 20.40 temporary low. Technically, Dollar broke near term support levels against Euro, Sterling and Swiss Franc. The development suggests that deeper correction is likely underway. It's still early to tell if the greenback is reversing but the case is opened up. 106.75 minor support tin USD/JPY could provide an early indication of more weakness in the greenback. On the other hand, break of 1558 support in gold could hint that Dollar is coming back. In Asia, Nikkei closed up 3.88%. Hong Kong HSI is up 0.69%. China Shanghai SSE is up 0.29%. Singapore Strait Times is up 1.88%. Japan 10-year JGB yield is up 0.01221 at 0.020. Overnight, DOW rose 6.38%. S&P 500 rose 6.24%. NASDAQ rose 5.60%. 10-year yield dropped -0.047 to 0.811. |
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