The markets in Asia will open slightly higher

The indices in Asia will open slightly higher today, after the FED left rate in USA unchanged at 1.25%. The markets in US reacted in positive manner and this positive sentiment might be transferred over to the Asian session. Investor were expecting this pricing about a zero chance for an increase. Traders continue to seek out risk oriented financial instruments.

The Aussie continue to climb on the back of the weak dollar. We might start to hear the old rhetoric from the RBA that the currency is strong and that they would like to see it trade down to lower levels. The strong AUD also will support the commodities. The Euro reached 1.17500 and it will probably pull back a bit during the Asian hours but next target remains around the 1.20 level.

Gold jumped up to $1,264 and it is possible to see higher levels in the days ahead, due to the weak dollar. It is likely that the rest of the metals will follow its lead. Price of Oil also went up during the European session reaching the high of $48.90 as the last data for the reserves came out better than expected. If this situation plays out the higher price of Oil will support the indices overnight.

Traders are expecting data from Japan and Australia and if they are better than expected we might see higher AUD and lower JPY again.

Nikkei will open around 20,040, as for the ASX 200 will open around 5,785

Trader - S. Fuchedzhiev

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