The overnight Asian session started off on unstable footing, although price action was mixed throughout the different regions. The Nikkei traded with a distinct weight to its tape, dropping in sympathy to the losses experienced earlier in New York. Shanghai started out in positive territory, helped higher with a manufacturers PMI reading from the region that came in with an 18-month high at 51.4. The strengthening of October’s PMI was in line with the trend conveyed by the HSBC PMI, and indicates the apprehension surrounding the rising inflation and SHIBOR rates may be a tad overblown. The Aussie and Loonie were both saw decent volumes trade at the beginning of the Asian session (when compared to the 30 day average), with both currencies gaining ground against the big dollar as traders looked to reposition for the beginning of the month.