Macro Afternoon

Finally a full session here in Asia as Japanese trader’s came back from the Golden Week as risk markets continued to react to the Trump/China trade battle. Meanwhile, the RBA meeting came and went with almost no change as the stubborn boffins at Martin Place continued to put their heads in the ground, sending the Australian dollar skyward.

The Shanghai Composite has not fought back strongly, closing about 0.6% higher to 2925 points after falling nearly 6% in the previous session. In Hong Kong, the Hang Seng Index is up an equal amount, closing 0.7% higher to 29390 points, with price just clawing on to the previous local support at the 29000 point level:

US and Eurostoxx futures are mixed with the four hourly chart of the S&P 500 showing a hesitation to get back to the previous highs as price remains just above the previous terminal resistance level at 2900 points:

Japanese share markets finally reopened after their long The Golden Week holiday, with the Nikkei 225 closing 1.5% lower in a big catch up play but not yet wiping out the dominant uptrend. Not so with trading in the USDJPY pair which fell in quick succession to the 110.60 level sending a clear risk off indicator as trailing resistance overhead and momentum remaining negative:

Australian stocks fluttered along taking the RBA meeting in its stride with the ASX200 only lifting 0.1% or so to 6295 points. The Australian dollar launched like a rocket on the stubborn hold from the RBA, bursting through the 70 handle, overhead resistance and the historical low (the solid black horizontal line). But does this mean the downtrend is over?

The economic calendar is relatively quiet with a series of secondary releases, namely US consumer credit and EU Commission forecasts.

Comments

    • Mining BoganMEMBER

      Otherness?

      I’m in. What does one call someone who has arrived from a foreign land then? And don’t say a vibrant.

    • haroldusMEMBER

      Why has she got a whole bunch of smiling d!cks dancing in her twitter?

      • Mining BoganMEMBER

        Maybe she meant to say post-polled.

        I dunno, I’m still shaken by ‘otherness’.

      • haroldusMEMBER

        Ah I have it worked out. An amusing reference to “democracy sausage”. Very droll, doctor.

      • It appears she prepolled due to convenience, the tone of the message seems to indicate that she is not unavailable or incapable of voting on the actual day of the election. From the AEC:

        You can vote early either in person or by post if on election day you:

        are outside the electorate where you are enrolled to vote
        are more than 8km from a polling place
        are travelling
        are unable to leave your workplace to vote
        are seriously ill, infirm or due to give birth shortly (or caring for someone who is)
        are a patient in hospital and can’t vote at the hospital
        have religious beliefs that prevent you from attending a polling place
        are in prison serving a sentence of less than three years or otherwise detained
        are a silent elector
        have a reasonable fear for your safety.

        Edit: Read further, appears she’s pregnant so fair enough

      • Mining BoganMEMBER

        So, is it religious beliefs or fear for safety?

        Judging by her past utterances I’ll go religious beliefs.

    • Mining BoganMEMBER

      Hang on, if she calls me a racialist is it her or I who is in a state of othering?

    • LSWCHPMEMBER

      She thinks its wrong to depict non-white faces and accents when discussing Indians. Imagine if 4 corners had represented Indians with a blue eyed blonde pale skinned Caucasian speaking received pronunciation? The uproar would be heard around the country.

      She’s got nothin’, and is desperately scratching for something to criticise. She even went to “Oh…it might be happening but those universities aren’t really top tier” FFS.

      That woman is a disgrace to the academy.

    • there ya go LvO, disproven
      “The allegations of immigration workarounds or backdoor entry into Australia could have been disproven with a basic knowledge of student visa requirements”

    • Very telling that she refuses to engage with the problem and sees her role as defender of Big Uni. Not a true academic, just another corporate captive. Dime a dozen.

    • TailorTrashMEMBER

      Purple bricks all in my brain
      Lately things they don’t seem the same
      Actin’ funny, but I don’t know why
      Excuse me, thought it good time to buy

      Purple bricks all around
      Don’t know if market comin’ up or down
      Am I happy or in misery?
      What ever it is, that bubble did for me

  1. J BauerMEMBER

    Spambot blocked the link, but check out betoota advocate dot com its brilliant today.

  2. K̶a̶n̶g̶a̶r̶o̶o̶ wallaby court finds rugby player guilty of high-level upsetting of Irish homosexual flying kangaroo airline chief.

  3. There were a number of types of behavior Israel listed suggesting they will go to hell. About 50% of the population is agnostic or atheist so what’s the big deal?

    • hell has lost its edge a bit,
      Now it’s a bit like saying if you don’t do something, Michael jacksons gunna beat you up. and most people go so?
      I loved eddy Murphy in the 90’s

  4. RIEA vice president was just on Ross Greenwood’s money show gloating over the demise of purple bricks and then crapped on about how professional the real estate industry is. Edwin Almeida from DFA notoriety called straight after informing him that the previous RIEA president is now facing court of trust account irregularities. Ross gave him a bit of a run but then cut him off after he started mentioning domainfax. Good on Edwin from Parramatta!

  5. GunnamattaMEMBER

    Can we get some musicians in here please…….

    Lets have the Macrobusiness Rasta choir croon this out

    Monetary Policy Oddity
    with grovelling apologies to the late David Bowie

    Ground Control to RBA
    Ground Control to RBA
    Take your wages pills and put your ponzi on
    Ground Control to RBA (ten, nine, eight, seven, six)
    Commencing countdown, rate cuts on (five, four, three)
    Check the credit and may debt’s love be with you (two, one, liftoff)

    This is Ground Control to RBA
    You’ve really made the grade
    And the people want to know whose weed you smoke
    Now it’s time to leave the bubble if you dare
    “This is RBA to Ground Control
    I’m deflating through the lower bound floor
    And the dollar’s floating in a most peculiar way
    And asset prices look very different today

    “Here I’m floating ’round my forecasts
    A Behavioural econoloon
    Consumer sentiment is blue
    And there’s nothing the RBA can do”

    Though debt’s past one hundred billion miles
    We’re feel like a pack of dills
    And we think our debt bubble knows which way to go
    Tell our fellow Australians we love them very much they knows
    Ground Control to RBA
    Your CPI’s dead, the education exports pong

    Can you hear us, RBA?
    Can you hear us, RBA?
    Can you hear us, RBA?

    “Here I’m floating ’round my forecasts
    A Behavioural econoloon
    Consumer sentiment is blue
    And there’s nothing the RBA can do”

    • The Traveling Wilbur

      Careful. You’ll annoy Footsore and then we’ll have to wait until he’s in a good mood again on Friday. Night.

    • I can actually play David Bowie’s Space Oddity On Guitar. Tempting to do a Haroldus and record it. 😀

  6. haroldusMEMBER

    Ay mon

    I found this difficult to phrase

    “Here am I floating ’round my forecasts
    in a room of behavioural economist loons
    Consumer sentiment is blue
    And there’s nothing the RBA can do”

    • GunnamattaMEMBER

      try this

      “Here I’m floating ’round my forecasts
      A Behavioural econoloon
      Consumer sentiment is blue
      And there’s nothing the RBA can do”

      • The Traveling Wilbur

        Here am I extrapolating sad projections
        Far beyond their bounds
        All data points you’ll rue
        And there’s nothing you can do.

      • Ashes to Ashes….
        “My banker said
        To get things done
        You better give debt
        To everyone.”

      • Can we get a lower teh rates and open teh gates line in there somewhere?

        Maybe Ashes to Ashes can be made after the bubble has been killed. After all in Ashes to Ashes Bowie was killing off Major Tom.