North Korean tensions have shaken investors in Asia early this morning. The Labor Day holiday is being celebrated in the States today. But investors will
North Korean tensions have shaken investors in Asia early this morning. The Labor Day holiday is being celebrated in the States today. But investors will get little rest as they contemplate risk adverse markets and volatility which will likely continue tomorrow.
Traders who were counting on a quiet Labor Day holiday in the U.S have had their calm broken. Markets will be closed in the States today, but investors are watching the developing threats which are escalating between North Korea and the U.S carefully. The U.S Dollar has range traded early today internationally. Upon their return to their offices tomorrow, American investors will have plenty of short-term decisions to make as they safe guard their trading positions.
Asian investors have proven risk adverse this morning as North Korean tensions have escalated once again. The Yen has gotten stronger against the U.S Dollar and is below the 110.00 level. Monetary Base numbers from Japan were improved this morning, which signals inflation is showing signs of increasing in the nation. Equities have traded lower in Asia, the Nikkei and Kospi Indexes have tumbled.
The Euro’s whipsaw trading continued before going into the weekend. The Euro is below the 1.19 level against the U.S Dollar. The European Union will release its Sentix Investor Confidence reading, and the U.K will publish a Construction Purchasing Managers Index reading today. Cautious trading may prevail for European equities today, as traders turn ‘risk off’ as they react to geo-political tensions and wait for American investors to return on Tuesday.
Gold will continue to see a speculative market today, as it has found a combination of buyers due to the perception of a weaker U.S Dollar and an influx of safe haven investors. The precious metal has consistently broken through resistance and is near 1340.00 U.S Dollar an ounce this morning.
European investors will look at the results of the Sentix Investor Confidence reading for the E.U carefully this morning.
8:30 AM GMT E.U., Sentix Investor Confidence
8:30 AM GMT U.K., Construction PMI
Yaron Mazor is a senior analyst at SuperTraderTV.
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Yaron has been involved with the capital markets since 1998. During the past 16 years, Yaron has been a day and swing stocks trader in the American market. Yaron has founded and made successful investments into businesses spanning exciting industries – from apparel to restaurants and bars, to high tech, medical technology, and education.