Asian stocks finished lower today as investors await the first interest rate cut in a decade from Fed. The Nikkei225 ended 0.09 percent higher at 21,540 as Japan Nikkei Manufacturing PMI came in at 49.4, below expectations of 49.6 in July. The Hang Seng finished 0.76 percent lower at 27,565. The Shanghai Composite ended 0.81 percent lower to 2,908, while in Singapore, the FTSE Straits Times index finished 0,27 percent lower to 3,291. Australian equities also ended lower, the ASX 200 finished 0.35% lower to 6,788.
European equities started higher today, DAX30 is adding 0.22 percent to 12,221, CAC40 is 0.50 percent higher at 5,546 while the FTSE MIB in Milan is trading 0.74 percent higher at 21,568. The London Stock Exchange is 0,02% percent lower to 7,584
In commodities markets, crude oil trades 1.13 percent lower at $57.92 as traders turn cautious on recent tensions in the Middle East. Brent oil is trading 0.92% lower at $64,45 per barrel despite major oil producers have agreed to cut output. Gold is trading lower at 1,406 keeping the bullish momentum as the price holds above all the major daily moving averages. On the upside, strong resistance will be met at 1,452.90 high.
In cryptocurrencies, Bitcoin (BTCUSD) continues higher for the second day and trades at 9,935 hitting the daily low at 9,862 and the daily high at 10,161. Bitcoin trades above the 50-day moving average, and now the momentum is positive for the short term, the previous two times it managed to rebound from that point. Immediate support for BTC stands now at $9,085 recent low while next support stands at 9,000. On the upside, strong resistance now stands at 13,138 recent high and then at 13,500 round figure. Ethereum (ETHUSD) trades flat at 211 with capitalization now to 22.7 billion. On the upside, the immediate resistance stands at 317 Friday’s high while the support stands at 200 round figure, Litecoin (LTCUSD) trades higher at 95.59. The crypto market cap now stands above $273.5 billion.
On the Lookout: Japan Nikkei Manufacturing PMI came in at 49.4 below expectations of 49.6 in July. Australia Commonwealth Bank Manufacturing PMI came in at 51.6 topping forecasts of 51.4 in July the AiG Performance of Mfg Index rose from previous 49.4 to 51.3 in July. The Australia Import Price Index (QoQ) came in at 0.9%, above expectations (-1.4%) in 2Q, while Export Price Index (QoQ) registered at 3.8% above expectations (0.1%) in 2Q. The China Caixin Manufacturing PMI came in at 49.9, topping expectations of 49.6 in July.
Trading Perspective: In forex markets, USD continues 0.29 percent higher at 98.86, the Aussie dollar trades 0.11 percent higher at 0.6854, while Kiwi trades lower at 0.6564.
GBPUSD is trading 0.36% lower at 1.2109. Major support now stands at 1.21 today’s low which if broken might accelerate the slide further towards 1.2050. On the upside, immediate resistance now stands at 1.2159 the 50-hour moving average while more offers will emerge at 1.2234, the 100-hour moving average.
In Pound futures markets open interest increased by 13,900 contracts while volume increased by 21,500 futures contracts.
EURUSD makes 2-year lows at 1.1045, facing the strong support at 1.1031 the yearly low, which if the pair manages to close below will open the way to 1.10. On the upside, immediate resistance stands at 1.11 round figure.
Euro futures markets open interest increased by 4,600 contracts while volume increased by 108,500 futures contracts.
USDJPY is trading 0.30% higher at 109.07 having hit the daily low at 108.68 and the daily high at 109.31. USDJPY pair will find support around 108.50 round figure and then at 108. On the upside, immediate resistance for the pair now stands at 109.31 the recent high and then at 109.63 the 100-day moving average.
In Yen futures markets open interest decreased by 2,600 contracts while volume increased by 38,900 futures contracts.
USDCAD is trading 0.17 higher at 1.3213 and continues the rebound from the lows around 1.30 amid USD strength, and the retreat in crude oil prices, Canada’s main export item seems to have added further weakness in the Canadian Dollar (CAD). The pair will find immediate support at 1.3017 the YTD low while extra support stands at 1.30 round figure. On the upside, immediate resistance now stands at the 1.3222 zone before an attempt to 1.3450 high from 31st May.
