DXY sure looks like it is about to break out:
AUD was pulverised:
JPY still looks troubled:
Oil and gold are warning on DXY:
Metals too:
And miners:
EM backed off:
Junk looks very nervous:
Yields firmed:
Stocks tanked:
The US Employment Cost Index spooked markets:
Compensation costs for civilian workers increased 1.2 percent, seasonally adjusted, for the 3-month period ending in March 2024, the U.S. Bureau of Labor Statistics reported today. Wages and salaries increased 1.1 percent and benefit costs increased 1.1 percent from December 2023. (See tables A, 1, 2, and 3.) Compensation costs for civilian workers increased 4.2 percent for the 12-month period ending in March 2024 and increased 4.8 percent in March 2023.
Wages and salaries increased 4.4 percent for the 12-month period ending in March 2024 and increased 5.0 percent for the 12-month period ending in March 2023. Benefit costs increased 3.7 percent over the year and increased 4.5 percent for the 12-month period ending in March 2023. (See tables A, 4, 8, and 12.)
Year on year looks good:
But quarter on quarter upset the applecart:
Any further hints of a “no landing” in the US lour market will produce ‘good news is bad news’ in markets as DXY flies with yields, and stocks plus AUD can’t get off the canvas.
