The Asian trading session experienced mixed results as China’s trade balance data revealed concerning results. On a yearly basis, imports and exports decreased 19.9% and 3.3% respectively. These numbers portray an even gloomier picture of the slowdown of domestic and international demand, hence tossing concerns on the sustainability of the current economic growth. Japanese markets, however, rose today on the carryover effects of last Friday’s US Non-farm payroll numbers. The strength of US labor caused the Dollar to appreciate roughly 1% against a basket of other major currencies, among which the Yen, which slid to 119.
European markets also suffered today after the Greek newly-elected government reinforced its line of standing against bailout covenants. Greece announced that it will stand against a date extension to the current bailout, thus sending short-term government yields higher.
Lack of major economic data will likely cause the trading session to respond to Asian and European news.