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Its definitely not rabbit season – its unicorn hunting season! Today we saw the bearish response to Friday nights falls on European and US stock markets.
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The ASX200 fell nearly 2% all the way down all day, closing down 70 points or 1.7% to 4128 points, reversing in a stroke all of last week’s gains.
If you thought that was bad, check out the rest of Asia, with the Nikkei 225 falling over 1.9%, the Hang Seng a stonking 3.1% whilst the Shanghai Comp is down 1.3% revisiting its previous lows.
On currency markets, the broader risk off move saw the risk proxy de jeure, the Aussie down nearly 1%, losing over 1 cent to be just below the 1.03 mark against the USD, but still on its short term trend from the June lows:
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The Euro/USD cross also took a pounding and is below the 1.21 level going into the European session as the US Dollar Index (DXY) improves with the 84 level a possible target tonight. The anti-dollar – gold (USD) is currently slipping going into the London trade, bouncing just off the $1570USD level.
InAUD terms, because of the drop in our currency, the shiny metal has risen slightly, now at $1527AUD per ounce.