market:
- WTI crude rose from $0.45 to $67.00
- US 10 years increase 2 bps by 4.29%
- S&P 500 futures increase 0.8%
- Hangsen +2.4%
- nikkei +0.8%
- NZD lead, JPY lag
It's a great risk to close out Asian trading week, and price action really needs caution as all risk-positive movements are unfolding in textbooks.
There were two catalysts, the first was a decision to vote for a Republican bill by Senate Democrats and avoid government shutdown. The second was a meeting between us and Canadian officials, who felt a positive attitude on the Canadian side (and the US side became quiet). It wasn't exactly a success that made it a thrilling, but Ti came with other signs that some people in the Republican circle have enough trade wars.
Others would like to buy a dip of risky assets. There is growing enthusiasm in China today. So far, FX moves have been modest outside of some decent circles. So far, the number of headlines from Tokyo has been minimal so far.
Another spot that everyone sees is gold. Futures have already climbed $3,000 for the first time, and after a $58 rise on Thursday, cash has been trading momentum for just $8 over the past few minutes. So far, it has been a great year for gold bugs as slack and tariff worries have increased.
The problem here is that tax concerns can't raise money, and stocks will rise as tariff concerns set back. You'll need to relax in the end, but with momentum, $3,000 is such a magnet.
Have a great weekend, Eamonn will be back to start a new week.
