Key Points

Bias: Risk on

Commentary

Another bullish day for U.S. stocks overnight with players now well and truly in the “risk on” stage of the game with continued buying after Friday’s stronger than expected Non-Farm Payrolls number. This saw a new all-time for the NASDAQ, while other indexes were close to theirs.

Currencies were largely quiet overnight, with Sterling bouncing on talk that the U.K. government is looking to speed up the withdrawal of lock-down measures, while the AUD continues to rise amid firmer U.S. stocks.

Oil prices were largely softer on fears that the weekend production cuts won’t last, while short covering helped support gold top close firmer.

Bias

Expect the bulls to remain in control in Asia today, with follow on buying of equities expected across Asian markets. The North/South Korea issues should also help to support the Yen. Data today sees Australian Business Confidence, European Employment and U.S. Wholesale Inventories.

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