- Global stocks halted their 6-day advance after a quiet session, not helped with Japan and Canada having Bank Holidays.
- A divergence has appeared across US Indices with The Dow Jones is the only US Index to break above the 17th September high, leaving the question of which way the divergence will reverse.
- EURUSD sits at a 17-day high and just below its 200 day MA.
- Australian Dollar closed higher for 9th consecutive session but is not short of resistance levels to scupper the impressive feat.
- Brent and WTI sold off heavily against from their recent highs, -4.3% and -4.1% respectively after hitting initial targets outlined last week.
- RBA Deputy Governor Lowe speaks today but I am not expecting anything to be mentioned regarding monetary policy. In fact I doubt RBA will go near the subject as long as FED keep rate rise this year on the table and China produces OK news. Which brings me on to..
- The plethora of data from China today includes Trade Balance, New loans and Money Supply. Both imports and exports have been declining which feeds directly back into growth concerns for China (and the globe). So watch this data set closely as this could easily break the party for Australian Dollar bulls later today.
NYLON HANDOVER: Stocks advance halted as Oil rolls over
It could have been a quiet session had it not been for the extended gains from commodity currencies whilst WTI and Brent rolled over at their resistance levels.