Macro Afternoon

It’s been a relatively good finish to the trading week here in Asia despite epic overseas volatility with stock markets putting scratch sessions or slightly higher closes. The currency and bond markets are poised for tonight’s US unemployment print, the result of which hinges on the Fed’s next interest rate move.

The Shanghai Composite has escaped doom by finishing a few points higher to 2606 points, barely hanging on above the previous support level at 2600 points.  The Hang Seng Index has retreated ever so slightly, down only 20 points or 0.1% to 26137 points, still well below the previous support level and the low moving average on the daily chart, but holding off from broader selloffs:

US and Eurostoxx futures are up slightly going into the London open, with the four hourly S&P 500 futures chart showing last night’s bounce back that needs to fill in above 2700 points above the high moving average as soon as possible:

Japanese stocks have done well all things considered, with the Nikkei 225 closing 0.8% higher to 21578 points, staving off a new weekly low.  The USDJPY pair has come back a little during today’s session, almost getting back up to the 113 handle, not exceeding the high moving average on the four hourly chart and looking like a swing play only:

The ASX200 put on some runs to finish the week on a slightly positive note, lifting 0.4% to 5681 points, but still unable to get back above previous support at 5700 points. The Aussie dollar however stayed depressed, hovering around the low moving average on the four hourly chart, slipping to the low 72s as the RBA again checks itself over reality:

The economic calendar finishes the week with the most important event on the calendar, the US non-farm payroll (NFP) or unemployment figures for November.

Comments

      • The Traveling Wilbur

        I thought it was when sledging entered the National lexicon.

        Though I guess Mertz and Ninnis are the only ones who ever really knew whether Mawson truly stepped over the line.

      • For me the old Australia died in the late 90s.. that’s when everything turned to utter crap and we became a 1 trick pony economy and too dependent on 1 country for prosperity.

      • Locus of ControlMEMBER

        Yeah, I agree Gavin. “Feels” like a lot of the old stereotypical model (i.e. the ones we could be proud of) Australian values died around the late 90s.

      • Thanks plenty for reminding me of Backchat, Footsore! The 1990s was the final transition from the mixed economy with a level of govt control of the economy to the monetarist casino capitalism that replaced it, when the spivs could no longer be contained, when the word spiv lost any negative connotation. It accelerated when Keating took over from Hawke and Howard sent it into over drive

  1. … JUST UPDATED … PERFORMANCE URBAN PLANNING website … http://www.PerformanceUrbanPlanning.org … refresh …

    Following a lull through the first part of the year (as explained below within the June 2018 Update), thankfully, New Zealand is back on track as the global leader, in dealing with the structural issues (land supply and infrastructure financing) impeding the supply of new affordable housing.

    Let the updated ‘2018’ and ‘2018 – Articles Of Significance’ sections speak for themselves !

      • The mainland Chinese (PR & TR students etc) are almost all Hukou exports – 2nd or 3rd generation Chinese peasantry internal illegals being actively exported by China.

        They are invariably unskilled, poor & in debt to the foreign agent procurer & visa trafficker.

        In any Australia housing purchase its not their money.
        The Chinese PR is just a proxy for the Chinese criminal syndicates in money laundering into a non repatriation safe haven via property purchase.

        The returns are high.
        Rented out with subletting 8-10 foreign students – $1600 a week cash, only $500 declared.
        10-12% rental yield, much of it undeclared & untaxed cash on the modest Australian established property.
        Plus negative gearing claimed as a kicker.
        Can’t do this in China.
        Or most other places in the world.

        That’s why Australian property is “cheap”.

    • “this is the extreme nature of this radical Keynesian communist thinking and it is just madness.”
      ..sober analysis.
      it is like they are angry that some people actually want to avoid a recession.

    • Martin North was just staring at him – lol. He was completely freaking out – apoplectic.

      The penny just dropped. Kind of sad really. He goes on about inculcated into the sand stone system – but holy crap. I was raging like that at least a decade ago – most of us were.

      Keynsian is absolutely fine – its not the problem – its the hollowing out of the economy and concentration of the industry and exports that will kill us.

      Argentina.

      • All the signs are there 😉

        Assets outside the banking system that hedge against AUS *and* US inflation is the go.

  2. What’s more importantly to the average Australian do you think, getting a few kids off Nauru, or the level of homelessness in Australia. I know some of those kids have been in that position but same with all the old Australians in particular living rough for even longer.
    Just shuts me a bit how politics has been over run with minority groups, no longer caring for their constituents

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