Macro Afternoon

by Chris Becker

Another day of unease across Asia with the Korean troubles still affecting risk markets, with the Yen bid higher, the Korean Won sold off and stocks retreating across the board.

In mainland China the Shanghai Composite is off nearly half a percent recovering a sharp selloff just before lunch to be at  3261 points as it continues to reject the next obvious resistance at the 3300 point level.  The Hong Kong based Hang Seng Index is off even further, closing down 1% lower as its rally starts a minor retracement with ATR support not far away here:

Japanese stocks closed with scratch sessions, with the Nikkei off only a few points as the Yen maintained strength against USD, remaining below the 20,000 point level. The USDJPY pair is depressed below the 110 handle, still at a weekly low as caution abounds:

S&P futures are down with all eyes on the VIX tonight as volatility spikes again!

The ASX200 started the session strong but fell in the afternoon for a scratch result, down 0.1% to be at 5761 points. A mixed bag with quite a few industrials doing well, banks relatively stable while iron ore and other commodity stocks sold off.

The Aussie dollar remains at three week low breaking sitting on tentative support at 78.70 against USD. There’s been a small selloff in the last couple hours but price is holding tentatively here as we await the City to open:

The data calendar continues tonight with a slew of UK data, including trade balance and manufacturing production figures while in the US, its initial jobless claims.


  1. The Traveling Wilbur

    Guess all the ASX day-traders crapped their DAX this arvo. Must have been burritos for lunch all-round​.

      • The Traveling Wilbur

        Meh. Looks like DAX is still the bigger problem… those burgers might have to swap to Bonds. It’s been a crappy week for finance oriented Germans.

        Maybe they can blame it on Rio?

  2. Anglo-sphere nation economies just going nowhere but in the wrong direction… the US…just takes a little stagflation-lite when you are this sick.

    Not to worry Mr Trump will ask for US $ 1 trillion to deal with North Korea thus getting over the debt limit problem. The ETF for the merchants of death is up 32% since his election.

    • The Traveling Wilbur

      Two words that should not be mentioned on this blog unless by people who know both (and are therefore probably Kiwis)


      That’s not a stagflation. This is a stagflation…

      Trigger warning: 22%

      PS not that you necessarily don’t, but it is unlikely you’re Kiwi.

    • The Traveling Wilbur

      Makes the ROI on those Queensland Investment properties look positively glorius Julie.

    • innocent bystanderMEMBER

      “I think we’re pretty close to the bottom of the market — by the end of this year, early next year we’ll have come to the end of price declines in the Perth housing market,” he said.

      soon, I tell ya, soon. lol

      overall prices haven’t really dropped much at all.
      see lots of stuff for sale where vendors are hanging out for their price, so obviously not desperate to sell… yet.

      likewise with house rentals.
      plenty empty for ages while agents try to keep the prices up.

  3. The Traveling Wilbur

    So is anyone else stockpiling single-use plastic bags (before we all die from bacterial infection from the reusable ones the governments are going to have us all get gouged by as the only available manly purchase), or is it just me, and how old does that make me?

  4. innocent bystanderMEMBER

    Another day of unease across Asia with the Korean troubles still affecting risk markets…

    listening to the radio this a.m. and someone said these “troubles” only make page 5 of the South Korean newspapers.
    but, then again, guess they have been living with em for what? 70 years?

    • Was in Seoul a few weeks back.
      Check The Age one morning & see ‘xxxx dead in 3 hrs. A war like no other.’ Etc.
      Turn on the tv to see their news. Nothing about conflict. Was all weather and something about Samsung and the govt.
      They’re banging the drums here but there it all seemed business as usual.
      (Was a holiday & I don’t speak or read Korean. Great food though!)

  5. Ooops-I-did-it-Again

    Day traders, we know that all of us smart ones just kept calm …. what stoooopid statements some can make on here.

    The afore-mentioned is not one of them, neither is the following :

    **** Go long ………………………. Oil …….yes, Brent Crude ****

    Why can’t people just post sense like I have ???

  6. migtronixMEMBER

    August 10, 2017 at 6:16 pm
    Sweeper, you introduced inequality and money laundering, not I. I don’t think inequality is a non-issue, just an overblown one. HILDA advised we are more equitable now than forty years ago.

    If Gillard and her Government had acted when in power it would saved five years of endless blah blah about SSM. Those that wanted to get married could and I’m guessing family lawyers would be even busier.

    Gillard and her Government had the opportunity to eliminate this particular inequality, but did not. Now the people will.”

    Gillard Gillard Gillard…hmmmm 🤔 who does that sound like?