Dalian opened this morning and immediately rocketed 3% presumably on the back of the G20 nothing. It’s since deflating. I’ll simply make the observation that although measures to curb speculation using the Dalian bourse have been very successful in terms of falling volumes, the price action is still much more volatile over short time frames than it used to be. There is more work here to do for Chinese regulators or it’s structural change that will make things very interesting when the market turns bearish. BHP meanwhile is again sober down -0.9%, RIO is -0.2% and FMG is flat:
The FMG 58% iron ore discount is out again to 16.4% today and the bubble refuses yet to burst:
Big gas is fading with oil with WPL -0.3%, OSH 0.4% ORG -0.9%, STO -0.9%
Still being held up by a combination of delusion and corporate action.
Big gold has resumed its correction with NCM -2.1%, RRL -3.2%, IGO – 4.7%, SBM -2.8% and EVN -1.1%:
I’m looking for a much bigger drop yet.
Banks are bid and threatening to break out of their downtrend on Italian resolution and the RBA rate cut with CBA 06%, WBC 0.3%, NAB 0.4% and ANZ 0.7%:
One can’t help wondering when further rate cuts will become price negative for banks…
