 Dollar and Yen are generally weak in Asian, after being pressure overnight with a return to risk-on markets. US stocks were lifted on as Treasury Secretary Steven Mnuchin "made a lot of progress in a lot of areas" with House Speaker Nancy Pelosi on fresh stimulus. Yet, there was also conflicting message from Senate Majority Mitch McConnell that the two sides remain "far apart". The rises in US indices were actually not to convincing, as they only closed around the mid-point of yesterday's range. Focuses will temporary turn back from politics to economic data again. Technically, there are increasing sign that Dollar has already completed its near term rebound. Yet, we'd still prefer to see a clear break of 1.1752 resistance in EUR/USD to give us more confidence for this case. Similarly, EUR/JPY would also need to take out 124.31 resistance decisively if markets are genuinely returning to risk-on mode. Ideally, for more Dollar weakness, we should see Gold sustaining above 4 hour 55 EMA cleanly, with some upside acceleration through 1920.06 resistance. In Asia, currently, Nikkei is flat. 10-year JGB yield is down -0.005 at 0.015. Singapore Strait Times is up 1.25%. China and Hong Kong are on holiday. Overnight, DOW rose 1.20%. S&P 500 rose 0.83%. NASDAQ rose 0.74%. 10-year yield rose 0.032 to 0.677. |
What drives the global financial markets to shift gears? Is it geopolitical uncertainty , central bank decisions , or the relentless march o...
