Macro Afternoon

Not a good start to the week here in Asia with a sea of red on stock markets in response to the weekend seizure of a British oil tanker by Iranian forces, but also the walkback of the Fed easing more than expected at this month’s FOMC meeting.

Chinese stocks sold off the most with the Shanghai Composite now 1% lower and below the 2900 point barrier while the Hang Seng Index is also off, closing 0.8% lower to 28520 points. This puts it just on or about the previous set of highs at 28500 as pressure mounts here:

Japanese share markets were able to shake off most of the negative sentiment due to a much weaker Yen, but the Nikkei 225 still fell, closing 0.2% lower to 21416 points. The USDJPY pair bounced back and followed through from its Friday night reversal and is just above the 108 handle going into the City open:

The ASX200 was the relative best in the region, falling 10 points or about 0.2% to close at 6691 points. The Australian dollar melted down very slowly without even the hint of a gap from the weekend, and remains well above the 70 handle level but just on the previous highs:

S&P and Eurostoxx futures are flat in early trade with the S&P500 four hourly chart showing how much of a struggle the major bourse is having in trying to get back above the 3000 point level following last week’s perfect rising wedge setup as the disappointing earnings season carries on:

The economic calendar starts the week very slowly although BOJ Governor Kuroda is making a speech tonight in Washington.

Comments

      • I’ve seen that movie but I only got to watch the first 15 minutes. Then I went for a little sleep.

  1. truthisfashionable

    Has anyone noticed a significant uptick in the amount of kids in their office this NSW (could be other states too I guess) School Holidays?

    Sure it would be anecdata, but it has been noticeable where I work, so am curious if it is noticeable in other places… Or maybe where I work is just more ‘flexible’ and ‘tolerant’.

    • Mining BoganMEMBER

      Big jumps tomorrow. Not up enough this month to please the spruikers or impress the punters.

  2. If some want a cinematic challenge I can suggest the French film Martyrs (2008) – Bon Appétit ….

  3. Sold my NCM. If they were pure gold stock and without Indonesian and PNG mines I would have kept them. Perhaps a mistake but I am positioning to 100% risks free countries. FOr same reason sold CDV..
    Only have few $ invested in couple of speculative stocks that drill in Brasil and Senegal but rest is all with land in Oz, EU, Canada or US.

    • Lmmao you invested in Indo or PNG gold mines ….. crap you might as well invested in Slavery and East Indies Corp futures ….

      Well done Sir, did you miss the red hot specials on Blood Diamonds or African cobalt et al to increase the yield of your “personal” portfolio …

      Yet how you will sequel when the same machinations are applied to your and yours ….

      Hayek applauds …

      • from what I know NCM is paying good wages there and run clean operations. It is up to Indo and PNG govs to introduce better min wage and environmental laws. Don’t lecture me on ethical investments. I lost money because I refuse to invest in companies I know are dodgy.

  4. Barnaby Joyce makes so much sense!

    * Build a freight railway
    * 18 May 2019: “you could have been in government you morons – you focused all your energy on unseating Abbott”
    * 14 July 2019: “give free electricity to every voter who lives within 50 km of a nuclear reactor”

    https://www.2gb.com/podcast/justin-smith-confronts-barnaby-joyce-amid-allegations-that-he-misused-his-parliamentary-allowance/

    https://www.smh.com.au/politics/federal/make-nuclear-power-free-barnaby-joyce-says-20190721-p5299j.html

    Australia already has a nuclear reactor. It was built in 2007 and nobody complained!

    Build a big one on the coast. Solar panels are not cheap enough and batteries have actually stopped falling in price.

  5. Crack up boom? A few examples of prices going above guide/ranges..

    39 Ironbark Drive, Templestowe Lower, Vic 3107
    $1,350,000
    Sold on 20 Jul 2019
    https://www.realestate.com.au/sold/property-house-vic-templestowe+lower-131451706
    Original guide range: $900,000 – $990,000

    44 Jumping Creek Road, Wonga Park, Vic 3115
    Guide range: $850,000 – $935,000
    2,651 m²
    https://www.realestate.com.au/property-house-vic-wonga+park-131450306
    $988,888 – Sold on 19 Jul 2019

    100 Hall Street, Newport, Vic 3015
    $630,000 – $670,000
    194 sqm.
    https://www.realestate.com.au/property-house-vic-newport-131433702
    $800,000 – Sold on 20 Jul 2019

    https://www.realestate.com.au/property-house-vic-doncaster-131433602
    11A Timber Ridge, Doncaster, Vic 3108
    $820,000 – $900,000
    628sqm
    https://www.realestate.com.au/sold/property-house-vic-doncaster-131433602
    Sold for $1.05M.

      • How do you mean? Some are selling $100k or so above guide. I guess that’s not the $200-$300k above we saw before. But it does counter the MSM commentators that say “this won’t cause a boom”. When lowering lending standards and interest rates.