FXstreet.com (Barcelona) - Asian markets have picked up on Monday and show moderate advances after a cautious opening, as sentiment has been damaged by the negative close on Wall Street last Friday, and the release of some disappointing earnings. Euro and Pound continue trading in range.
Japanese Nikei Index edges down 0.2%, while Hong Kong's Hang Seng Index added 0.4% and Chinese Shangai Composite Index advanced 1.4%. Australian S&P Index has dropped 0.8%. Markets in South Korea and Taiwan are going through minor advances.
On the earningasa front, quarterly results from Bank of America and general Electric showed that companies as well as individuals are loaded with debt, will might dampen U.S. economic recovery for a while. Today quarterly earnings results from Apple, MacDonalds and Whirlpool Corp are expected to draw conclusions about the strength of U.S. economic recovery.
Euro, Pound and Yen, in range
EUR/USD decline from 1.4965 year to date high has dipped below 1.4840/45 support area during Asian session, to hit 1.4825, although the Euro picked up to trade around 1.4880 at the moment of writing.
GBP/USD rally from 1.5705 low in October 13th, reached 1.6400 3-week high on Friday, and the Pound has gone through consolidation during Monday's Asian session, moving in a range from 1.6275 to 1.6375.
USD/JPY recovered somewhat on the previous week and bounced at 88.80 low on Oct 14 to reach a fresh 3-week high at 91.30 last Friday, to consolidate afterwards in a range from 90.55 to 91.10. At the moment of writing, the Dollar trades at 90.90 halfway through the mentioned range.