Yuan’s the highest since September
The dragon has awakened and it leaves behind a trail of gainz! Chinese markets kick off 2018 with a bang as they lead the world to a day of advances.
Property stocks soared in the Celestial empire and a gauge of the country’s production beat expectations. The dollar on the other hand, which finished its worst year in the last 10 years, fell back against major peers.
The Caixin manufacturing purchaser managers’ index showed a 51.5 December reading from estimated 50.7. It managed to beat the November one. China’s fast trackin’ forward!
As a result, MSCI Asia was 0.6% up by 3:00 PM Hong Kong time. It jumped 29% in 2017 to a record high.
Hang Seng China Enterprises index jumped a full 3%, while the full Hang Seng was a percent up. A reminder that many Chinese companies are listed in Hong Kong, cause the commies in Beijing don’t allow many trading stuff.
The first week of the year’s gonna be a tad quiet on since everyone’s still hungover. What ya gotta expect till the end of the day however are the US and UK Markit manufacturing PMIs.
The Old continent fails to catch the green wave from Asia
The strong euro screwed Europe over again. Shares on the Old continent fell back on the first trading day of 2018 after failing to capitalize on the strong Asian session.
Exporters were the worst hit in the Stoxx Europe 600, which dropped and started a decline in most industry sectors. At least US stocks opened with a jump up.
The euro jumped 0,4% against the dollar to a 3 year high as manufacturing activity jumped in line with the December forecasts. We came to see gold rising for an 8th session in a row to 1313.78 an ounce.
Here’s what you need to watch out for this week!
MiFID takes effect on Wednesday – that’s the biggest change to European financial rules in a decade.
FOMC December minutes get published on Wednesday.
US payrolls get released on Friday.