Macro Afternoon

Asian share markets are again mixed despite a positive mood on Wall Street overnight with only local stocks on the ASX200 lifting today. Concern over the US/Mexico trade spat and more Federal Reserve cuts is keeping currency markets on their toes with tonight’s ECB meeting the key focus on the calendar.

The Shanghai Composite is now almost in free fall with another 1% decline, remaining well below the critical 2900 point support level, to close at 2827 points. The Hang Seng Index has closed with a scratch session, with the daily chart still showing a deceleration pattern with a target at the 27000 point level but sentiment is not yet positive enough to get back over that level:

S&P and Eurostoxx futures are down 0.1% going into the European session with the four hourly chart of the S&P500 chart showing a stall after the previous surge that got back above previous key terminal support at 2800 points. Unless price can make further gains above this level, the market continues to signal a major correction as the completion of a very bearish head and shoulders pattern on the longer term charts:

Japanese share markets also put in a scratch session as the Yen advanced throughout the day, with the Nikkei 225 finishing at 20774 points, remaining above the key terminal and psychological support level at 20000. I thought there might yet be a bottom in the USJDPY pair but a new series of session lows as it remains just above the 108 handle but below key resistance at the 108.50 level:

Australian stocks were the best performer in the region with a small blip higher with bank stocks helping the ASX200 closing 0.4% higher to 6383 points, still below previous support at 6400 points. The Australian dollar didn’t move much around the trade balance release but remains below the 70 handle, stalling here going into the London session:

The economic calendar will be dominated tonight by the latest ECB meeting with a press conference by Mario Draghi. There’s also US initial jobless claims that will be closely watched after last nights ADP print.

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Comments

  1. The Traveling Wilbur

    And the ellusive search for tonight’s first intelligible comment continues…

  2. Core logic has not upsdates its daily indices today.

    Did they get raided by the AFP as well? Charged with not cheering house prices enough…

    • It’s been explained to them that under no circumstances can the numbers go more negative. 😀

    • Can’t understand why, in the digital age, it would take them over 24 hours to cook the books. Doc Wilson manages to produce absolute bullish!t almost immediately – maybe he can have a word to CL?

  3. TailorTrashMEMBER

    Ok so what happened to the doc ….
    ……that nice ER chap who did some real good work giving Narcan to ODs and stiching up the glassing victims on a Saturday night .
    Did the AFP pick him up and is he now in a reeducation centre (an Australian version of Yining Number 3 middle school ) ?
    Perhaps he is getting a little cultural reorientation more in line with the views of the great benevolent government that has been paying his salary.
    Dissent will not be tolerated .

    https://www.bbc.co.uk/news/world-us-canada-48503822

    • He either died in the fallout from the great Christchurch banning spree, or is stuck in the perpetual loop of teams refusing admission

    • Australia has a “robust” AML/CTF framework and AUSTRAC works closely with all of its reporting entities, he said.

      “Stopping the movement of money to criminals and terrorists is a vital part of our national security defences and it is critical for regulated businesses in Australia to comply with the AML/CTF regime,” he said.

      Yes “STRONG” lol, except if you’re buying Real Estate, then it’s game on!

      • Mining BoganMEMBER

        You know, in all the excitement of the SOO and another South Africa loss we all missed New Zealand just scrambling home against Bangladesh.

        Now I have to decide whether this world cup is interesting or the far too many 20/20 games makes it seem that way.

    • haroldusMEMBER

      So much embarrassment smithy saves but don’t want to jynx it so won’t say any more.

      Oh no drinks break, that’s not good.

    • ErmingtonPlumbing

      She is wonderful,

      Book Description
      “Woke will help you to become the woke person you need to be in an increasingly progressive world. In a non-patronising manner, Titania McGrath will explain why you are wrong about everything and how to become more like her.

      About the Author
      Titania McGrath is a radical intersectionalist poet committed to feminism, social justice and armed peaceful protest. A regular on the live-slam poetry scene, Titania regularly performs at arts festivals, deconsecrated churches and genderqueer spiritual retreats. Her unique blend of art and activism has been variously described as ‘inspiring’, ‘groundbreaking’ and ‘woke as fcuk’.”

    • You did do that tittyania typo thing on purpose? Surely?
      I told you not to call me Shirley
      Oh, enough