EQUITIES
Asian share markets mostly traded higher, except for Japan's Nikkei 225 that slipped -0.09%. Hong Kong's Hang Seng rose 0.06%, China's Shanghai Composite gained 0.15%, and Singapore’s gained 0.09%. Shares in Australia also traded higher, as the S&P/ASX 200 rose 0.39%, and South Korea’s KOSPI increased 1.48%.
Wall Street’s three major indexes closed higher on Tuesday as improving economic data and the prospect of more stimulus reinforced hopes of recovery, while a jump in technology shares powered Nasdaq to another record high.
OIL
Oil price slipped in the morning of Asian trading hours, as Brent is trading at $42.44 while WTI is trading at $40.14 as of writing time.
Brent crude futures closed on Tuesday at $42.63 per barrel, while WTI futures ended at $40.37 per barrel.
CURRENCIES
The U.S. dollar index, which tracks the greenback against a basket of its peers, was last at 96.63 after dropping from levels above 97 seen earlier.
The Japanese yen traded at 106.52 per dollar after strengthening sharply from levels above 107 yesterday. The Australian dollar changed hands at $0.6940 after seeing an earlier low of $0.6920.
The dollar was under pressure, after optimistic data in Europe boosted the euro and helped stoke hopes for a global economic recovery, underpinning investor appetite for riskier currencies.
GOLD
Gold currently trading at $1,767.20 per ounce, while stands around $1,786.40 per ounce for gold futures as of writing time. Previously closed at $1,766.90 and $1,782.00, respectively.
Silver trading at $17.90, platinum trading at $808.00 and palladium trading at $1,855.00.
ECONOMIC OUTLOOK
Stocks in Asia Pacific mostly edged higher Wednesday morning as the coronavirus situation continues to be watched, with White House health advisor Dr. Anthony Fauci warning Tuesday that parts of the U.S. are beginning to see a “disturbing surge” of Covid-19 cases.
Oil futures edged lower on Wednesday, extending losses from the previous day, after U.S. crude stockpiles grew more than expected, adding to worries of oversupply, although a fall in gasoline stocks kept the decline in check.
IHS Markit’s euro zone Flash Composite Purchasing Managers’ Index, a broad gauge of economic activity, beat expectations with a bounce to 47.5 from May’s 31.9.
IMF and Sudan have reached agreement on macroeconomic policies structural reforms that would underpin a 12-month staff-monitored program.
To date, number of confirmed worldwide cases for COVID-19 pandemic has passed reached more than 9.354 million today affecting 213 countries and territories around the world and 2 international conveyances, recording more than 480 thousand fatality globally.
TECHNICAL OUTLOOK
[USDJPY]
Important Levels to Watch for Today:
- Resistance line of 107.431 and 107.982.
- Support line of 106.995 and 105.104.
Commentary/ Reason:
- Price broke the early May lowest support, as dollar were put under pressure over positive data of Euro currencies.
- Stochastic and RSI oscillators are steadies around normal range after recovering from undervalued range before.
- MACD is trading above its signal line and negative.
