Trading Day in one post 25.04.2016

Asia markets lost ground on Monday across the board, with many traders likely taking to the sidelines ahead of several central bank decisions this week.

The Japanese benchmark Nikkei 225 was down 0.70 percent after flirting with positive territory briefly. Last week, the index added 4.3 percent. Across the Korean Strait, the Kospi was down 0.12 percent. In Hong Kong, the Hang Seng index was off 0.57 percent.

Chinese mainland markets were lower, with the Shanghai composite shedding 0.82 percent and the Shenzhen composite off by 0.91 percent.

The U.S. Federal Reserve, the Bank of Japan (BOJ) and the Reserve Bank of New Zealand (RBNZ) are all set to meet this week. Stephen Innes, a senior trader at OANDA Asia Pacific said, "while most of the focus will center on possible policy action from the BOJ, traders will be looking for forward guidance both from the Fed and RBNZ."

Markets in Australia and New Zealand are closed for ANZAC day public holiday on Monday.

If you think the dollar is going to continue to weaken, that's very positive for emerging markets," according to Titherington. "If you think China is stabilizing, that supports the story. If, on the other hand, you are pessimistic about China and you are a dollar bull, then it's probably time to be more cautious about emerging markets.

The Japanese central bank is set to meet and announce its monetary policy decision this week, with half the analysts polled by Reuters expecting further easing.

Oil prices retreated during Asian hours, with U.S. crude futures down 1.46 percent at $43.09, while global benchmark Brent fell 1.2 percent to $44.57 a barrel.

Major indexes in the U.S. closed mixed Friday, with tech stocks leading declines after earnings in the sector disappointed. The Dow Jones industrial average closed up 0.12 percent, the S&P 500 was flat and the Nasdaq composite was down 0.8 percent.

10:00 Spain - PPI

11:00 Germani - IFO Business Climate Index

11:00 Germani - IFO Business Expectations Index

11:00 Germani - IFO Current Conditions

17:00 USA - New Home Sales

Today is traded strong JPY followed by the GBP and EUR in the third place, it is possible to see the appreciation of these currencies continue against major rivals.
It is expected that the decline in major indexes to continue by profit taking in anticipation of the  central banks decision this week.