After a quiet 2017. Haidi we are just past 9 00 a. M. And this is a quote daybreak australia. Im betty liu. We will look at all the action that happened on wall street on friday. How that will play into the asiapacific trading game. Record major ines in the market gains the market. Substantially higher. Nasdaq rising by almost 2 . Not like the sessions we saw last week. We ended at the high of the session. We are really focused on several key events in asia. Is jay powell is coming out comingouty powells party to congress. So much heightened awareness of the potential he has to be in market mover. We have had so much with flash in terms of sentiment. Even though the rally into the. Lose the s p pushing there is still a little bit of fragility when it comes to these markets. Take a look at the set up we are saying. Of. 3 . Eing gains fluctuating in the session against the euro and losing ground against others. Upside of 31 points going into the open. The aussie dollar is strengthening s
Chair. Fed the janet yellen era has come to an end. Just a few more weeks and janet yellen is out of there. Are piling in, they stocks, thatn with ripped in the u. S. Permeated the emerging markets, some are trying to figure out who was meeting who but i want show you one indicator here, this chart that gives you a sense that the and may be coming soon. 2717 measures the breath of the stocks. About 80 of the s p 500 stocks are now trading above their 50 day moving average, that is usually a sign that bull run may be ending. You can see that this has happened a few times during this bull run. We have not seen any and to u. S. Stocks. You just ignore the technicals, we have seen these red alarms before and we see rallies continuing on forward. People say 2018 is that risk where we see these trade tensions escalate and we did see that from the president today. Lets check the u. S. Markets and how they close in reaction to others headlines, you had the snp of about 2 10 of 1 , the dow trad
Liquidity, we do with hongse markets kong on the halfday session. Middle markets after the holiday. Korea also a lot of action and taiwan. ,ut the markets are trading extending gains on wall street overnight, the s p higher for a fourth straight session, coming back from the 10 decline from january highs. This is despite higher inflation and bond yields. It was that combination that caused a selloff. We are getting more analysis on what we are seeing when it comes to trading. Taking a look at southeast asia, some markets coming online. Lets take a look at what david is looking at. We are looking for the year of the dog. Not a great deal of trading, but what we are seeing is positive. David nice way to end the year. Up for a fourth day across asiapacific, about 6. 5 left until we regain the peak we lost rout. Ing the asia. Is doing quite well, stocks are up. Yields are on the way up as well. Sie 10 year yields closing in on the new zealand 10year. The spread of the aussie over the u. S.
Supporters. Bloomberg markets asia. Haidi this recovery however long it lasts will be a oneway bet the way it has been over the past few months. There is a sense this is a market that is trying to find its footing after the selloff. The worst selloff in seven years, we did get that treasury story again. Here in asia, not too bad. Lets take a look at where things were tracking. Japanese stocks with strong gains. And it upside of 1 . The topics much the same. Nd we are bucking the trend there is a sense of caution where volatilitys come down but higher than where we were a week ago. Gone backngs have not to normal. When you look at what will be happening in hong kong we will see how much investors look at the trade data. Will they ignore it or put more weight on it . That would give you an indication that we are back to regular programming. The other thing i want to mention, have a look at this chart. To real stress times for the market, gf cn red. You have the european debt and green an
More hikes. A big day for stocks but not if you are a bull. The selloff started friday and im even sharper on this monday. Even as stocks suffer their biggest losses since 2008 the bond market started acting more like the usual correlation. Stock started plunging we got a nice rally in the u. S. Treasury market and we ended up benchmark 10 year. Yesterday morning we saw that 10 year testing at 2. 8 . It has been a big year in on movement. We have seen a little of that sign, butd be a good there was about 15 minutes of frantic selling on the dow, that flash crash. It is raising some eyebrows. This runup that we saw in january, this could be some type of a healthy signal. There are a lot of questions on how much pain we would have to endorse here. Guestsf questions to our this morning. Kathleen and a perfect time to be asking them. The biggestre on stock plunging in 6. 5 years. Erasing alls p 500 gains for the year. The vix volatility index wow. And i biggest spike ever spoke to an exper