US stocks show mixed performance amid ongoing trade tariff concerns. Nikkei 225 rebounds sharply, and the US dollar's strength pauses. Our technical analysis covers key levels across major markets.
Hong Kong’s stock index sell-off is seeing signs of near-term stabilisation
Choppy and mixed performances were seen yesterday, 7 April, on the major US benchmark stock indices as traders continued to grapple with uncertainties surrounding the 9 April effective date of the higher reciprocal tariff rates.
The US White House administration refuted a media news release of a “tariff pause”, and US President Trump via social media threatened an additional 50% tariffs on Chinese products if China does not remove the retaliatory duties on US goods.
The Nasdaq 100 ended the session with a minor gain of 0.2%, aided by several mega-cap tech stocks, while the S&P 500 slipped down by 0.2%, and the Dow Jones Industrial Average and Russell 2000 underperformed with losses of 0.9% each.
Also read: Tactical view for April – Trade tariffs woes back. Impact on markets.
Over in Asia today, the Nikkei 225 jumped by 5% at this time of writing after two weeks of intense downward movement with an accumulated loss of 19%. Hong Kong’s Hang Seng Index has also started to stabilize around its 200-day moving average with an intraday gain of 1.6%, after yesterday’s dramatic sell-off of 13%, aided by China's state funds intervention.
The broad-based US dollar strength seen in the past two sessions has started to take a breather. The recent weakness on the EUR/USD since last Friday has started to find a potential floor around its 20-day moving average, acting as a key intermediate support at 1.0860.
The latest intraday technical analysis on US Wall Street 30, US Nas 100, Hong Kong 33, Japan 225, Germany 30, EUR/USD, GBP/USD, AUD/USD, USD/JPY, Gold (XAU/USD), and West Texas Oil can be found in our YouTube video above.
