By Chris Becker
Risk markets are losing their collective shit on the realisation that yes Dorothy, interest rates will go up! What makes this little rout different is that bonds are being sold off alongside stocks, and all across the yield curve with cash now the No.1 option, especially in USD form. King Dollar soared against the majors overnight while oil fell on IEA and OPEC reports of declining demand. It’s looking like an interesting build up to next weeks FOMC Meeting to say the least!
Recapping Asia’s session yesterday, where the Shanghai Composite managed to eke out a scratch session still just above crucial support at 3000 points. The 2% drop on Monday broke the uptrend from the June lows and today’s session will be critical in not following through below support:
