Macro Afternoon

Asian share markets are mixed following last night’s equally mixed session, with Japanese bourses bouncing the highest on the back of a slightly weaker Yen. The Australian dollar is rising the fastest amongst the undollars while gold has retreated slightly after getting ahead of itself last night.

The Shanghai Composite is down 0.9% again going into the close to remain solidly below 3100 points, currently at 3019 while the Hong Kong Hang Seng Index is cruising for a scratch session, up only 0.1% to 28552 points. It’s getting close to cracking the last headfake at ca. 28000 points:

US and Eurostoxx futures are rising going into tonight’s session with the four hourly chart of the S&P 500 bouncing off of support at the 2800 points key level with a probably swing upsession tonight:

Japanese stock markets are bouncing back strongly, with the Nikkei 225 closing more than 2.3% higher at 21423 points, bouncing off key support at the 20600 level. The USDJPY pair is barely gaining traction here after a small bounce overnight, gravitating around the 110 handle and not making any upside moves but still respecting the Friday night lows:

The ASX200 is only up a few points, currently at 6130 points to remain well below staunch resistance at 6200 points with the financial sector dragging the index down. The Australian dollar is on a minor tear, pushing right through the 71 handle after a very solid bounce overnight and not yet overbought, ready to push up to last week’s high at 71.60:

The economic calendar continues tonight with US house prices and the latest consumer confidence print.


    • Total fail. Argument based on assertion with no data. Rolls out the usual supply-and-demand crap with no attempt to identify any reasons prices are falling or whether those reasons are diminishing (hint – they aren’t).


      • The Traveling Wilbur

        I went looking for GIFs and got distracted:

        “How many supply-side economists does it take to change a light bulb?
        A1: None. If the government will just leave it alone, it will gain the incentive to screw itself in.
        A2: None. The darkness will cause the light bulb to change by itself.”

    • I’d say he’s been resigned. Like anybody who caused trouble for the Clintons was suicided.

      Observing and commenting upon reality will get you into all sorts of trouble these days.

      • C.M.BurnsMEMBER

        I’d say that gross incompetence and losing pretty close to the unloseable election follows the KISS principle, and not some far reaching global conspiracy.

      • @Monty I wasn’t suggesting any global conspiracy. I said “like” the Clinton…issues. I was suggesting that the people who actually run the Labor Party behind the scenes…the faceless men…decided that he had to go.

    • “In fact, power has collapsed so dramatically that bargaining over wages has been relegated to a small and shrinking portion of the labour market.”

      Geez, I wonder why that is, if you can just go to the global skilled labor pool and get anyone you want.

      • C.M.BurnsMEMBER

        at least they’re finally naming the symptom (labour has lost pricing power compared to capital) and not simply shrugging their shoulders in bewilderment, as everyone in the MSM has been doing for the last 5 years.

    • Did ok in Vic but let’s be honest. They have the right platform, the wrong name and very little chance unless they get a big-name candidate or some other means of getting mainstream media attention.

      More’s the pity, but it’s true.

      • proofreadersMEMBER

        Yep – unfortunately UFN, a wasted vote. Meanwhile, Leyonhjelm may get up. Go figure?

      • @proof There’s no such thing as a “wasted” vote in a preferential system.

        Vote 1 SAP. They don’t get up? Vote 2 [major party fcukwits]. MPFW will get your vote, but SAP are recorded as your first preference, which goes on the record, may end up with SAP receiving electoral funding and sends a message to MPFW.

        But still…it’s a bad name and they are struggling to gaIn traction.

      • The Traveling Wilbur

        I hear they get lot of enquiries from finance sector staff in private industry and government.

        Especially the not very clever ones looking up SAP procedures online.

        Especially government.

      • SA, just does not stand out to the average punter. Should be the ‘cut immigration’ party.
        Keep it simple guys, you’re too complex for the average Aussie idiot.

      • For someone like me who follows MB and politics I was perplexed at all the options on the ballot paper when I voted in the NSW election. Lots of independents I’d never heard of. I also didn’t know much about the Flux party or Shooters party for that matter..

      • I assume what it says on the Tin, but I haven’t looked into their policies to see if I agree with them. I was also worried they had an NRA standpoint on certain guns..

      • C.M.BurnsMEMBER

        fair enough. It is (what it says on the tin) and they do (relaxing current gun laws, opening up current national parks to hunting etc) are a key part of their policy platform

  1. CanuckDownUnder

    I’m a paid up member of SAP but their meek mild-mannered offend nobody messaging isn’t going to resonate with voters, is it?

    They honestly need someone like a sanitised version of mike mb to smash people over their heads with the numbers crush loading our cities, instead we get “stop overdevelopment” slogans and a vote total down with the animal rights and euthanasia parties.

    • The cut immigration party, implies everything, less trafic, less stress on infrastructure, less stress on water resources etc etc etc.

      • Wrong wrong wrong wrong.
        ‘Cut through’ iis EVERYTHING in politics. As a small party if you don’t cut through you get no where. It is as simple as that.

      • CanuckDownUnder

        Sorry but how does telling people the truth equal hysterical?

        People are angry about road congestion, overcrowded public transport, schools and hospitals, and under- and un-employment. So to tap into this SAP decide to run with a slogan of “Stop Overdevelopment” in the state election, making themselves look like a NIMBY protest party.

        Latest vote count has them up around 2.5% so hopefully they can grab a LC spot and get back to spreading their intended message.

    • C.M.BurnsMEMBER

      they need someone who is regularly on the media, to become their brand ambassador. Leith is starting to get a media profile with repeated bookings on talk back radio etc, and that would be a good start.

      but ideally you want someone with an existing media presence. And while Dick Smith is good, his brief dalliance with One Nation has pretty much poisoned him as a message-bearer for this. You have to come at this from pure economics – and if you can be tainted by the brush of racism but association, not matter how short that was for, you’re not much good to the party to be honest.