Australian dollar hangs on as yuan freefalls

David Llewellyn-Smith

Tuesday, 24 July 2018

The Aussie dollar is hanging on but can’t get its usual Asian bid today:

The cause is obvious enough. A freefalling CNY:

Bizarrely, Aussie markets have greeted this tsunami of deflation with selling bonds:

And buying miners:

Dalian has a better handle on the implications:

Big Oil is up:

Big Gold is still troubled:

Big Mortgage is nervy:

And Big Puswad is again meh:

Though it is always amusing to see pre-nationalisation Genworth rally.

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.