Archived IMT (2008.10.24)
ASIAN-DRIVEN risks are the culprits of the selloff in Asian equities and sharp reduction in appetite despite the late session rally in US equities, which boosted high yielding currencies against USD and JPY after the closing US bell. USD DROPS vs JPY TO FRESH 13-year LOW at 95.45. I warned of broad yen losses into Asian trade but these were short-lived as the downturn in risk was caused by ASIAN-CENTRIC dynamics such as 12% price slump in SONY, recession fears in Korea. I did, however warn against going long sterling ahead of Friday's release of UK Q3 GDP figures. Although JPY and USD are on the rebound, I warn of any excessive build up of risk-aversion trades into the US session as we may see the usual change of tone from the US trading session. Gold's tumble to a fresh 1-year low of $714 is also boosting the dollar's recovery.
Virus Sends Stocks to 4th Worst Day in Past 9 yrs
by Adam Button | Feb 24, 2020 18:25
Gold Eyes 1680 ahead of G20
by Ashraf Laidi | Feb 21, 2020 18:08
3 Charts for GBP Traders
by Ashraf Laidi | Feb 21, 2020 13:18
Is Yen-Centric Risk Back?
by Adam Button | Feb 20, 2020 17:34
Why the Euro Keeps on Falling
by Adam Button | Feb 19, 2020 16:37