Daily Alert: For Tuesday 12th January 2016

Mark Nugent2016 H1, Daily Alert, January 2016

Today’s Economic News

We are beginning to move towards risk-on but we are not there yet:

  • Vix = 26.01 but lower than Friday’s close. .
  • WTI and Brent crude move to lows last seen in December 2003 and April 2004 respectively.
  • Chine stock markets CSI300 and Shanghai composite down 5.03% and 5.33% respectively. Mixed news elsewhere: S&P500 and DAX up; FTSE100 down; Nikkei, Hang Seng and CAC40 all gap down on open, move up during the day but close below Friday’s close. Better than last week’s carnage, but not yet a firm, global move up.
  • JPY index flat on the day but very volatile (ATR today of 70 against average ATR over the last 14 trading days of 40).

I will begin to consider executing the strategy outlined in yesterday’s Weekly Review and Outlook once I see a more consistent rise in most non-Chinese stock markets and when I see JPY index rise.

There was no news on today’s calendar.

Major News Items for Tomorrow

Two central bank governors will speak: Carney (BoE) and Kuroda (BoJ).