Ominous signs in China not yet priced…

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Dalian is putting on a brave face today despite the weakening omen of Chinese house prices:

Big Iron is mixed but looks toppy:

All three majors have room to fall before their up trends are disrupted, here’s RIO:

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I expect a move back into the $50s for iron ore before year end so those trends will be tested. They may well hold given the new year should bring higher prices on seasonal restocking. Then I expect the big break lower through next year as China keeps slowing.

Big Gas keeps rising on the blood of dead pensioners:

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Nice work if you can get it.

Big Gold is still a trading “sell” in my book. The market agrees today:

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The Big Sleazy is up again with the wider sector. Not sure why. I don’t see yield curves steepening. The opposite with taper:

Big Liar still hasn’t realised it is the walking dead:

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Aussie dollar at 80.03 and two year bond pricing two rate hikes. Ominous signs in China not yet priced…

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.