Very strange trade in the Australian dollar

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Aussie building approvals crashed this morning yet the AUD went up:

Reuters misreported the numbers early so perhaps that explains it. It should have fallen half a cent, bonds got the message:

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Stocks are up:

Big Iron is up. FMG is enjoying 58% resurgence as mills look to cut costs:

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Big Gas is up:

Big Gold is still consolidating:

Big Banks are down:

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And Big Realty:

It seems all that matters right now is to buy as the Fed and trade war threats recede. But under that the Aussie economy is quietly falling apart and EPS plus RBA will follow.

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.