ASX has shed 0.3% as US yields rally across the board

A quick look at today: overall, ASX shed around 21.8 points or 0.3% and ended today's session at 7,314.5.

The US yield curve struggled to maintain its balance as bond yields rose across the board. The iShares U.S. Treasury Bond ETF declined 0.79% to trade at $22.69.

Amid the market gloom, Australia Construction Work Done (QoQ) (Q4) released today at 00:30 UTC with a figure of -0.4, while the previous figure was 2.2. Australia Wage Price Index (QoQ) (Q4) came out at 0.8, while a consensus of analysts was expecting one.

Trend and momentum analysis indicates that ASX 200 made an initial break below its 50 day Simple Moving Average at 7,295.46, a possible indication of a forthcoming negative trend. Analysis based on the asset volatility indicates that ASX's lower Bollinger Band® is at 7,284.57, indicating that the asset has overextended to the downside and could, therefore, bounce back as buyers look for bargains. Technical chart analysis shows ASX could begin to recover as it approaches significant support, now 48.23 points away from 7,266.27. Dipping below could be an indication that further losses are ahead.

With market volatility ebbing, the current technical outlook indicates ASX will remain range-bound for the immediate future.

In the meantime, negative performances are also seen in other markets, Dow Jones dips 2.06% today and closed at 33,827. KOSPI Composite Index is down to 2,417.68, losing 41.32 points, after ending the previous session around 2,459. S&P 500 dips 2% today and closed at 4,079.

Furthermore, Australia Private New Capital Expenditure (QoQ) (Q4) is expected tomorrow at 00:30 UTC. Australia RBA Assist Gov Bullock speech set for tomorrow at 05:15 UTC. Australia AIG Manufacturing Index (Dec) will be released today at 21:30 UTC.

ASX has managed to gain 5.08% so far this year despite trading at lows around 6,434.7 previously.