Two Ways: China Shows Modest Improvement in Trade
Strengthen your portfolio in good times and bad.
China's June exports fell 21.4% year-over-year and imports dropped again, but that number fell at a slower pace showing that the world's 3rd largest economy continues to pull out of a slump. This latest contraction in exports was the eighth consecutive monthly decline, but it was still an improvement over May's record 26.4% plunge, according to the Associated Press.
In late 2008, China's trade disintegrated as consumer demand worldwide plunged. Analysts say the key to a global economic rebound will be a recovery in China's key US and European export markets.
See Professor Keith Fitz-Gerald's Five Reasons to Listen to George Soros.
From the Bull Pen: For a Chinese play, consider China Mobile (CHL) if you think the stock had a successful test of its 200 DMA. A sell stop can be set below that level for upside tries.
From the Bear Cave: Bears can look elsewhere. Is the Japanese Yen ETF (FXY) becoming overbought? One can consider fading (read:sell) into $110 resistance. A buy stop can be set above that level.
Quick Check Around the World
Asian trading closed with the Hang Seng -0.46%, India -1.84%, Shanghai -0.28%, Nikkei -0.04%, and Taiwan 0.32%.
Glancing towards Europe, we see the FTSE -0.83%, CAC -0.73%, DAX -0.82%
As of 8:05 AM EST, S&P Futures are trading -7.00 to 871.90 and Nasdaq futures are -8.5 to 1405.00.
A Look at Commodities
Over in commodities, crude oil is trading -0.87 to 59.54 while gold is -7.70 at 908.50 this morning. Silver is -0.350 to 12.58 and copper +4.95 to 219.75.
The dollar index is +0.5150 to 80.5650.
On the Radar
08:30 Export Prices ex-ag
08:30 Import Prices ex-oil
08:30 Trade Balance -30.0b cons.
09:55 Michigan Sentiment 71.0 cons.
Sushi Friday anyone?
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