Negative start of the Asian markets, after the terror act in the UK

The futures of the US indices opened lower and its possible that the Asian indices will follow them lower as well. After that they may start to go up again if the positive sentiment returns to the market place.

The more riskier currencies continue to trade higher as AUD/USD and NZD/USD go up. The US dollar did fall on Friday last week, after the release of the NFP data and the short term sentiment remains bearish, at least until the next FED meeting later on this month. GOLD is also trading higher around $1280, the price of Oil continue to stay under pressure around $47.60 per barrel and there are still reasons to expect and stay bearish in the short term.

We do expect data from China for the PMI services and from Australia for the inflation gauge and corporate profits, and if the data are worst than expected, it will be negative for the Australian currency. On Tuesday there is the RBA meeting and decision for the interest rates and we remain short against the AUD. Its the only country from the G7, that traders and investors have expectations for lower futures rates, which again will be negative for the currency.

Nikkei will open lower around 20,155, ASX 200 will open around 5,793

Senan Fuchedzhiev - Trader 

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