Look like yesterday’s recovery and growth was just that – an ordeal for yesterday exclusively as we can see a clear decline in Asian markets. The reason for such behavior is the fact that United Sates finally shed some light on trade deal with China and market didn’t like the possible future situation.
As we expected, G-20 summit was a big success and we can clearly see the results of it in the numbers today. What we didn’t expect is Donald Trump backing down from his idea to impose more tariffs on China and actually making a trade deal with Xi Jinping.
Dollar extended his calm behavior and didn’t pare any losses which could have been a pressure for Asian market, but in reality the entire picture seems pretty calm at the moment. Major dollar’s peers are mixed while oil is in the green zone.
With recovery that we saw yesterday, especially for oil we might have overloaded the markets with our attention and today we see that the performance in Asia is mixed, oil is down and precious metals are also losing points.