Themes

• General mood is “risk off”
• U.S. stocks stage a bounce back after earlier weakness overnight
• Currency markets continue to consolidate

What’s Moving

U.S. stocks opened on the offer in New York trade and deal weaker for most of the session before a late rally saw the major indexes end slightly firmer. The impressive bounce back was put down to short covering.

It was, as expected, a quiet night on currencies overnight, with some early weakness on he Euro, AUD and Sterling before a short-covering bounce into the close supported the USD into the end of New York dealings.

Talk was that some of the la bounce back was down to the bounce in Bitcoin.

Thoughts

Expect another quiet one in Asia today amid the lack of clear direction from overnight trade and ahead of the lack of major incentives in local trade.

The data calendar sees:

• Australian CPI (E: +1.0%), and
• Japanese BoJ Core CPI (E: +0.7%)

Pivot Points