EQUITIES

Asia-Pacific markets traded lower on Tuesday. The Japan’s Nikkei 225 slipped -0.35%, the Australia’s S&P/ASX 200 down -0.24%, the Shanghai Composite lose -0.45%, the Hong Kong’s Hang Seng index slipped -0.65%, the Singapore’s Straits Times index shed -0.38%, and the South Korea’s KOSPI down -0.63%. 

Overnight on Wall Street, the S&P 500 closed 0.4% lower, the Nasdaq Composite gained 0.5% and the Dow Jones Industrial Average hit a record high but fell back 0.6% for the day.

OIL

Oil slips on demand worries. The Brent crude futures traded to $50.00 a barrel, while U.S. crude at $46.68.

On Monday, Brent closed at $50.29 per barrel, while WTI futures ended at $46.99 per barrel.

CURRENCIES

The dollar traded near 2 1/2-year lows against major peers on Tuesday, stood at 90.72, near its recent trough of 90.471.

The offshore Chinese yuan weakened 0.2% to 6.5444 per dollar. The onshore yuan traded at 6.5549. A Chinese official said Tuesday that the country could make targeted policy adjustments as the economy improves.

The Australian dollar slipped 0.33% to 0.7512. The New Zealand dollar lost 0.1% to 0.7072.

GOLD

Gold edged higher, currently trading at $1,835.90 per ounce, while stands around $1,838.30 per ounce for gold futures. Previously closed at $1,828.20 and $1,832.10, respectively.

Silver trading at $24.01, platinum trading at $1,000.00 and palladium trading at $2,296.00.

ECONOMIC OUTLOOK

Asian stocks traded lower on Tuesday following a mixed Wall Street session, as concerns about increasing COVID-19 deaths, infections, and lockdowns, at once overshadowed optimism about the coronavirus vaccinations rollout.

Negotiators in the U.S. Congress neared agreement on a massive government spending deal that would avert a government shutdown, as Republicans and Democrats seems came in terms to pass a fresh round of monetary aid.

The EU Brexit negotiator, Michel Barnier, said today that sealing a new pact with Britain was still possible as the date for the country's departure from the bloc edged nearer.

To date, number of confirmed worldwide cases for COVID-19 pandemic has surpassed 72.847 million affecting 213 countries and territories around the world and 2 international conveyances, recording more than 1.621 million fatality globally.

TECHNICAL OUTLOOK

[USDJPY]

Important Levels to Watch for Today:

- Resistance line of 104.284 and 104.846.

- Support line of 103.475 and 103.236.

Commentary/ Reason:

- The currency added 0.1% to 104.115 yen on Tuesday.

- USD/JPY overnight recovered from a 5-week low and moved higher. Stocks gave up an early rally Monday, which sparked safe-haven demand for the yen and pushed USD/JPY higher. The same movement expected today as stocks were mostly lower early in the day.