It’s been a relatively quiet session for Asian equity markets with traders struggling to find much meaningful direction. After yesterday’s market holiday in Shanghai, the Hong Kong exchange has been closed today, leaving many traders playing something of a waiting game ahead of fresh data out of Beijing. We’re going to see new Yuan loan numbers out tonight followed by CPI readings later in the week and with concern building that signs of a slowdown may be imminent, anything that serves to exacerbate these fears could result in a bout of selling. The Nikkei is edging higher once again but much of this appears to be driven by ongoing dollar strength – USD/JPY came close to 106.40 overnight.
Major indices on Wall Street are currently forecast to start the day little changed and again there’s not much in the way of fresh economic data that has the potential to deliver any meaningful direction here. The geopolitical situation seems eerily calm and the point many seem to be focusing on is the launch of the latest iPhone, so ahead of the open we’re calling the DOW down 4 at 17107 and the S&P down 1 at 2001.