Macro Afternoon

A sea of green across Asian stock markets this afternoon but not so for the Australian dollar which continues to stumble as Governor Lowe this morning was unable to outline a clear scenario for when rate cuts will stop. Currency markets are awaiting tonights ECB meeting plus any further fallout from Boris Johnson’s cabinet culling, as the UK swelters under enormous heat…

Chinese stocks are positive and in lockstep with both the Shanghai Composite and Hang Seng Index advancing around 0.4%, the former up to 2934 while the latter is hovering around 28611 points. This put it slightly above the recent set of highs at 28500 as the market moves into a slightly bullish mood, but overall the trend remains sideways despite the lift in sentiment:

Japanese share markets had an okay day with only minor advances towards the end, with the Nikkei 225 closing only 0.22% higher at 21756 points. The USDJPY pair continues its stall pattern with a series of slightly lower four hourly highs keeping it just above the 108 handle but ripe for an inversion – watch momentum:

The ASX200 had another very solid showing despite falls in iron ore darlings like BHP (off 2%) and RIO (off 4.5%) as spot prices move lower, as banks fill the void to take the market to another record high, up 0.6% to 6818 points. The Australian dollar helped here as it continued its selloff to be well below the 70 handle and key support levels going into the City open:

S&P and Eurostoxx futures are up at least 0.5% going into early trade with the S&P500 four hourly futures showing a desire to break out above last week’s Friday highs and have another crack at the previous high near 3020 points:

The economic calendar continues tonight with three critical releases, first the ECB monthly meeting, then US durable goods and trade balance figures. A busy night, for sure…

Comments

  1. interested party

    Someone really wants Epstein silenced. Chatter is attempt was not suicide…but a close relative starting with arkin…….

    evidence kills…..now moved to solitary with 24hr guard. Why was this not the case prior? unless dirty cops on the inside?
    It’s not like he’s just some random dude.

    • I’ve been following his story and he is an interesting case. There must have been some motive to arrest him all of a sudden and now this, he must have a lot of dirt on a lot of high profile people. Be interesting to see how this plays out and if anything will come of it.

      • haroldusMEMBER

        If all this is true, surely there are a million “In the case of my premature demise etc etc” packages with lawyers around the world.

      • FBI say wut now? and everyone complies? búllshÍt fckn

        FBI agents on site and police instructed witnesses to delete any video and photographs of the event and cleared out the bar, according to reports. Likewise, FBI officials instructed Austin Police to not release any details of the death to the media, sources confirmed. Witnesses at the nite club were also told to “stay offline” and “keep quiet” about the shooting, sources said

      • interested party

        @CharlieM
        “There must have been some motive to arrest him all of a sudden”

        Yes, it took the removal of the dirty upper echelons of the DOJ, FBI, and the Intel community in general…….to allow the arrest and criminal charges to stick. Up till now he has been protected by very high individuals…..and now that protection is gone, or weakened enough to make trial a possibility.
        Case in point….
        https://news.yahoo.com/jeffrey-epstein-sex-trafficking-acosta-trump-151010331.html

        The flood gates are about to open. Cross check the info with the Nxivm case with Raniere, Bronfman, Mack, and many others. These all tie together with connections to the Clinton Foundation. So many high profile names are exposed now.

  2. CB, we would have to be near a top in ASX? Can’t see much more than 100 up before a sell off to just under 6000 again?
    Yield and AUD falling but you can’t keep the yield play for ever.

  3. Geez MB are you going to write about the disaster in the US Mueller hearing and how the Democrats look like a bunch of F%$KING DUMBA$$E$ today. Come on I know how you lot hate Trump but this was a disaster for the Dumbacrats. TRUMP 2020

  4. Just an idea: Maybe we all stop responding to Andrew. I see many great, genuine, opening arguments as rebuttal to this person’s waffle and never see sensible responses. I see Andrew repeatedly calling others trolls yet continues to engage in troll behaviour, maybe time to stop feeding the troll? I don’t think any of us gain anything by engaging with Andrew. Feel free to ignore this suggestion.

  5. CanuckDownUnder

    Can Ireland knock over the Poms for less than 270 and make this Test a very interesting proposition? I don’t think they’ll want to chase more than 150.

    • haroldusMEMBER

      How can there be a test so close to the WC? Is this is full England team?

      Please let Ireland smash those gombeen gobshites.

    • Which side is the world cup winning england captain playing for? (almost as bad as the dearth of aussies that get to pull on a wallaby jersey).

      • The Traveling Wilbur

        What do you call a world-class test-playing Wallaby?

        Permanent.
        As in a permanent resident.

  6. My last day at the Big T. Just heading home after the farewell party. Mixed feelings..

    • Just finished working at 1:00am – working since 10am today. CBF’d anymore. Can’t wait to be jobless lol..

  7. This would be hilarious if it wasn’t so frightening.

    https://www.michaelwest.com.au/mayday-two-shadowy-chinese-corporations-behind-virgins-plan-to-control-australian-airbase/

    This is the story the Murdoch press buried. Investigative reporter, Anthony Klan, defected from The Australian newspaper after News Corp bosses muzzled his investigations, including this expose into secret Chinese plans to establish a mega-pilot training facility on an Australian airforce training facility.

    Virgin Australia may have misled all levels of Australian government and has made dubious public claims about the true identity of its shadowy Chinese partners in its secretive proposal to take control of the nation’s biggest military pilot school, at an RAAF training facility in Tamworth NSW.

    It can be revealed that the nation’s second biggest airline failed to inform the NSW Government, the Federal Government, the English speaking media – and even Tamworth council – about any foreign involvement in its proposal whatsoever, despite that mega-project being “certified” by the Chinese Communist Party a year ago.

  8. Read about the swimming saga in The Aus yesterday. Sun Yang’s I don’t give a f'”$k cheating attitude and comments and FINAs corruption sums up what’s wrong with the world. Imagine training all your life only to lose to a potential drug cheat and basically being told to suck it up. Not that Sun Yang is the first or last to take PE drugs as an Aussie was also a culprit. It’s not just the drug taking that pisses me off it’s FINAs response to it all maybe someone got paid off or something.