Australian dollar, ASX rally on Trump China optimism

The Aussie dollar is up today as Donald Trump appeared at Fox to declare a “great” China deal is coming:

Bonds are still bid:

ASX is up for second day with S&P futures:

Big Iron is up with FMG soaring as folks hope 58% iron ore back in town (vainly in my view):

Big Gas is mixed:

Same for Big Gold:

The Big Bank short squeeze is underway:

But Big Realty is lagging badly as the property bust reality sinks in:

Keep an eye especially on pre-nationalisation GMA, the lynch-pin in the credit ponzi, which is at post-float closing lows:

Where GMA goes, Australia goes.

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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.