Having bought the rumour, US investors sold after the unveiling of President Trump’s tax plan. Although the initial response was positive, and US indices traded in the green for most of the session, the looming market close sparked a minor panic. The key question for Asia Pacific investors revolves around the potential for the sentiment reversal to erase yesterday’s gains.

A strengthening USD may work against local shares. Both gold and oil slipped, and other commodity markets were quiet to negative. Futures are pointing to a mixed opening across the region, with added weight on the Nikkei on the back of contrapuntal Yen gains. A monetary policy statement from the BoJ could slow activity despite a consensus around no change in rates.

BHP shares are in focus after a quarterly production result that disappointed. Despite revising down estimates BHP shares traded higher in London, but US investors were less forgiving, selling the stock down by around 1%. A similar move today could add to the weight on the Australia 200 index.

CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

CMC Markets Singapore may provide or make available research analysis or reports prepared or issued by entities within the CMC Markets group of companies, located and regulated under the laws in a foreign jurisdictions, in accordance with regulation 32C of the Financial Advisers Regulations. Where such information is issued or promulgated to a person who is not an accredited investor, expert investor or institutional investor, CMC Markets Singapore accepts legal responsibility for the contents of the analysis or report, to the extent required by law. Recipients of such information who are resident in Singapore may contact CMC Markets Singapore on 1800 559 6000 for any matters arising from or in connection with the information.