Talking Points:British Pound slumps as UK PM May revives “hard Brexit” fears Australian Dollar follows local shares higher amid risk-on trade Cautious Fed-speak may cool rate hike bets, weigh on US Dollar
The British Pound is underperforming in otherwise quiet trade at the start of the trading week, roiled by comments from UK Prime Minister Theresa May over the weekend. May rekindled worries about a “hard” Brexit – wherein the UK would lose access to the EU single market – in an interview with Sky TV. She said her priority is to negotiate the best possible UK/EU trade deal while remaining firmly outside the regional bloc rather than find ways [...]
Talking Points:Wall Street was the main theme for Asian stock markets on Monday That made for general gains, especially for Australia’s ASX, although Japan was out for a holiday However, reports of North Korean readiness to test a long-range weapon weighed on the Kospi
Wall Street’s Friday pep saw off the Monday blues for Asian bourses although North Korea managed to take some of the shine off, as it so often can.
The Dow Jones Industrial Average came within a whisker of the 20,000 mark on Friday in the aftermath of official labor data out of the US, and that was the backdrop against which Asia started a new week.
Australia’s ASX benchmark rose nearly 1% in [...]
Talking PointsThe pace of deceleration in Australia’s construction sector continues to fall December’s Performance of Construction Index came in at 47 vs. 46.6 prior However, AUD/USD remained stuck in its post-US payrolls data downtrend
News of continued slowing in the pace of deceleration in the construction sector did little to advance the cause of Aussie Dollar bulls as a new trading week got under way in Asia on Monday.
The Performance of Construction Index from the Australian Industry Group came in at 47 for December. This was an improvement from November’s 46.6 but still below the crucial 50 level, which would indicate an [...]
Talking Points:AUD/USD Technical Strategy: Short at 0.7327 Aussie Dollar forms bearish candle pattern, hinting down trend resuming Short trade triggered, targeting initial support layer comes in below 0.73
The Australian Dollar put in a bearish Dark Cloud Cover candlestick pattern after testing falling trend line resistance, hinting it may be readying to resume its down trend. Last week’s brisk recovery was cut short in the wake of December’s US employment data.
From here, a daily close below the 14.6% Fibonacci expansion at 0.7266 opens the door for a test of the 23.6% level at 0.7211. Resistance is in the 0.7357-96 area (January 5 [...]