Cautious mood evident in Asia
Mihir Kapadia, CEO and Founder, Sun Global Investments
The cautious mood was unsurprisingly evident in Asian trading with the Kospi in South Korea down 1.1 per cent. All Asian Indices are lower with declines of between 0.3 per cent and 1.3 per cent. Australian equities are a rare bright spot. Bolstered by an upbeat start to the earnings season for the country's biggest banks, the S&P/ASX 200 index rose 0.5 per cent.
In contrast, there has been buying of safe-haven assets of gold and the Japanese yen, and US Treasury Bond yields turned lower. As the yen rose, the Nikkei fell by 1.3 per cent.