The US economy is a happy island in the context of a stagnating Eurozone, a Japan in recession and a China that is slowing down. Both the stock market - Wall Street sets another record - and the American currency benefit from it. And, to complete the 'terno', the ill health of the international economy keeps interest rates low, so that even American bonds benefit from it. Tomorrow the data on the labor market in America will be released, and already the 'Beige Book' of the Fed suggests a good result.
The MSCI Asia Pacific regional index was up 0,4% towards the end of trading, but the region's two largest economies – China and Japan – fared better. The Shanghai-Shenzhen CSI 300 scores another 3%, hovering over 3 thousand, while the Nikkei, also helped by a yen that is close to 120 against the dollar, scores + 0,9%. Both the Japanese stock market and the yen are at levels not seen since 2007.
The strength of the greenback is also evident against the euro, which fell to 1,230, while the Australian dollar is just below 0,84 and, according to the National Australia Bank, could drop to 0,80 next year against US dollar. Gold, on the other hand, gains against everyone and rises above 1200 (1205,9 $/ounce). WTI oil increases again, supported by an unexpected drop in US inventories, and is close to 68 $/b. Stable futures on Wall Street.
