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01.04.22 Macro Afternoon

Published 01/04/2022, 05:16 pm
Updated 09/07/2023, 08:32 pm
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Asian stock markets are still mixed in terms of sentiment as traders weigh up the latest US unemployment print tonight and the ramifications from the Federal Reserve. The USD is remaining strong against most of the majors, with Yen weakening while Euro is still hovering at its overnight losses. Oil prices are still pulling back after the US strategic reserve release, with Brent crude down again to be just over the $104USD per barrel level while gold has stabilised at the $1935USD per ounce level. Meanwhile Bitcoin has continued its drop to be below the $45K level for a new weekly low:

Mainland Chinese shares are lifting faster going into the afternoon session, with the Shanghai Composite currently up 0.6% to 3271 points while the Hang Seng Index has pulled back again, falling amid the chaos around a huge drop of delistings, off by nearly 0.8% to 21837 points. Japanese stock markets remain in retreat mode with the Nikkei 225 down 0.5% to 27705 points while the USDJPY pair has broken out above the high moving average but this looks weak at best:

Australian stocks were once again the top performer in the region with the ASX200 closing 0.1% lower to remain at just below the 7500 point level. Meanwhile the Australian dollar has continued to deflate to drift below the 75 level after again failing to clear resistance overhead, with momentum inverting in the short term:

Eurostoxx and Wall Street futures are drifting lower as we head into the London session with tonights US unemployment print hanging over traders heads during this period of sour risk sentiment. The S&P500 four hourly chart shows price breaking down to trailing ATR support at the 4540 level as resistance overhead at 4600 points is rejected in full:

The economic calendar will be dominated tonight by the latest US unemployment print – the non farm payrolls, but there’s also Eurowide inflation and the US ISM manufacturing PMI to absorb as well.

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