When the S&P fell 2%, so did the Nikkei. The S&P rose by 2% overnight so I’m presuming that the Nikkei will as well. Most of the JPY crosses have rallied bigtime overnight but the sentiment will nevertheless be bullish if the Nikkei opens strongly. 92.30 in USD/JPY is the big level to watch if things start heading north.

Sam will take over for the next few hours and I’ll be back a little later.