Tokyo's main index closes the day near the lows
- Session high 22,051.65
- Session low 21,865.98
Japanese stocks are off to a rough start to the week after the US jobs reports last week saw annual wage growth climbed to its fastest since April 2009 and as renewed hope in US-China trade relations is met with skepticism.
The former is likely to prompt the Fed to stay on course (but markets are fearing that they may move faster) to hike at every other meeting while the latter is due to the debacle seen on Friday, prompting investors to believe that the "leaked" report of Trump wanting a trade deal is more to score political points ahead of tomorrow's midterm elections.
The negativity from the trade sentiment is also dragging down Asian shares in general as Chinese stocks are down about 1% currently while the Hang Seng index is down by more than 2% on the day.
I expect the softer tones to continue into European trading and that will keep any bids in the aussie and kiwi at bay still.
