Macro Afternoon

A bit of hope and optimism is sneaking into Asian share markets today following the reversal on Wall Street overnight, although continued protests in Hong Kong are weighing locally. Safe havens are still getting a bid, with gold and Yen both rising while Treasury yields are falling.

Chinese stocks have split with the Shanghai Composite taking back its previous losses to close 1% higher and now back above 2900 points while the Hang Seng Index has retreated slightly, down 0.3% to 25608 points. Price remains under pressure, still well below the low moving average on the daily chart, and looks set to return to the terminal low just below 25000 points:

Japanese share markets have advanced despite a rise in the domestic currency with the Nikkei 225 clawing back half its previous losses to be up 1% to 20456 points. The USDJPY pair failed to gain traction on the Tokyo open and has now fallen back below its low moving average on the four hourly chart to be just above the mid 105’s – this looks ominous for a full inversion:

The ASX200 had a robust session, gaining nearly 0.5% to close at 6471 points, but still looking very weak on all timeframes. The Australian dollar continues to fail at any passably good rally, falling straight back to the mid 67’s and unable to make any new session highs:

S&P and Eurostoxx futures are off slightly so the confidence isn’t fully back yet. The S&P500 four hourly chart shows price hovering in the midpoint of the moving average bands, with price unable to get back above the 2880 point level:

The economic calendar continues tonight with the double whammy: US consumer confidence and the latest house price updates.

Latest posts by Chris Becker (see all)

Comments

    • boomengineeringMEMBER

      Just got an email to remove my 2 shipping containers from my parking lots at the factory, bit hypocritical of the panel beater complainant with all his dumped cars all over the common area.

      • And that money is going to? That is right, the local council is loving the homelessness epidemic, just as they love all the taxes they receive from overpriced property. Representative Democracy 2019.

  1. The Traveling Wilbur

    After two years, I’ve finally figured out who the guy making the rail announcements at my station sounds like.

    The soup vending machine from Red Dwarf. It really is quite tragic.

  2. NEW ZEALAND: The Fonterra Fiasco … continues …

    A review of things you need to know before you go home on Tuesday; some key rate cuts, house inflation reviving, bank reputations improve, ugly Fonterra drop, swaps firm, NZD stable, & more … Interest Co NZ

    https://www.interest.co.nz/news/101391/review-things-you-need-know-you-go-home-tuesday-some-key-rate-cuts-house-inflation

    … extract …

    $1 BLN LOST IN ONE MONTH

    A feature today in local markets is the continuing sharp fall of the Fonterra share price, now at a seriously worrying $3.15 and a drop of another -8c today alone. Investors are fleeing fast. The company’s capitalisation is now only $5.077 bln and that is $1 bln less in just one month. This is a company that had a capitalisation of $10.7 bln in January 2018. It has halved since then.
    .
    .
    Treasury to be asked about solidness of Fonterra’s financial reporting … Andrea Fox … New Zealand Herald (behind paywall)

    https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12262311

    Google NZ Search ‘Fonterra’

    https://www.google.com/search?source=hp&ei=jOJkXfv2GcL59QPFia2QAw&q=fonterra&oq=fonterra&gs_l=psy-ab.12..

  3. I was outside Brisbane central train station today, needed a toilet so went into the pub on Ann Street frontage. I’m a weirdo and always feel uncomfortable using the facilities without being a paying customer so always throw $1 in the pokies and then use toilet. Had some shrapnel and went to change for a dollar, refused!!!! They do not change any combination on shrapnel, when queried no info was gathered apart from the fact it had been “the rules” for 6 months.

    Is this just that particular establishment’s rules, or is this a govt directive? (will look myself eventually, just very surprised)
    P.S. Still used the toilet lol

    • ErmingtonPlumbing

      When ever I use a Public toilet to take a piss, whether in a restaurant, pub, cinema, etc etc
      I always rip out a pinch of pubes with my thumb and forefinger and gently place them in a prominent place giggling at the thought of confusion that must be experienced by the next person to use that urinal or toilet when they see a bunch of my pubes right there infront them taking a piss.

    • “Any notion that China may be open to the ideals of global citizenship or that the students would see themselves as agents of cosmopolitanism were absent from the interviews,” the authors wrote.

      Lol, nice spell checking. Yes, I am sure they are agents of “cosmopolitanism” ….

    • haha what a load of crap. They are highly politically sensitive and educated, and don’t mix with Australians because they don’t mix with anyone.

      • And they can fvck right off back to where they come from and take their sorry assed apologists with them.

    • Sad day when world leaders pick up that ScoMo’s a sh1tty, shifty cvnt but Australians thought he was worth voting back in again.

      • Mining BoganMEMBER

        One day back in Queensland with entitled oldies makes me think they deserve everything they get from their boy Scummo.

        They still agree the grandkids have no future though.

      • I’ve been totally avoiding the news since … well, since the weekend …. how come scummo was at the G7? Who invited him? I can barely get my head around us being in eurovision, let alone scummo being at the G7. He’s got all the gravitas of a labrador puppy. Embarrassment upon embarrassment. Geezus, I’m going back to bed.

      • The Horrible Scott Morrison MP

        Those World leaders are all leaners. Tried talking to them about negative gearing and they didn’t have a CLUE what I was talking about.

      • @ScoMo that’s because nobody understands the point of losing money on real estate and why Australian’s think it’s a good thing?

    • “And increasingly, we are now seeing inquiries from banks and financial institutions who are looking to try and find a way of helping their clients balance their budget.”

      Wow, so the banks hand out money like lollies to people who can’t afford it, then expect charities to help the lemmings so the bank can keep making mega profits. Hey banks, heres an idea. Stop lending obscene amounts of money to idiots who think that because you will lend it to them, it means they can afford it.

      My god, this country is beyond belief.

    • That’s not how foodbank is supposed to work… If you can’t afford it, you sell and rent. FFS.

      Timmeh replied at the same time.

  4. 5 hours ago

    Globalist propaganda – apparently a book extract – might make you laugh.

    Immigration panic: how the west fell for manufactured rage

    The west is being destroyed, not by migrants, but by the fear of migrants.

    They have successfully convinced their populations that the greatest threat to their nations isn’t government tyranny or inequality or climate change, but immigration.

    https://www.theguardian.com/uk-news/2019/aug/27/immigration-panic-how-the-west-fell-for-manufactured-rage

    lol

    Wage growth is at a record low due to record immigration. Mass immigration increases inequality. And stealing doctors from the third world means the third world is robbed of talent that was trained in universities that are funded by third world governments.

    There is a guy here who used to work as an engineer in Latin America and now he works as a cleaner in Australia. Brilliant. The fake Greens rob Latin America of engineers and simultaneously rob Australians of cleaning jobs and truck driving jobs.

    • No small irony there with manufactured rage railing against manufactured rage. As usual, no talk of corporatist crush-loading and profiteering, no talk that most migration is corporatist/developer/extreme growth led economic migration with the main goal of financialising people’s amenity and the environment for disinterested capital.

    • Another partisan propaganda piece. They obviously asked the French guy why he hasn’t become a citizen but didn’t put it to print.

      French-born graphic designer Sylvain Garcia, who has lived in Australia for eight years, has urged the electoral matters committee to overturn a law change made in 1981 that restricted the right to vote to citizens, rather than permanent residents. “Today, at 29 years old, I feel more Australian than French,” he wrote in his submission.

      Mr Garcia intends to apply for citizenship next year in order to vote in elections.

      It is obviously a problem that doesn’t need solving, you muppet. French guy the muppet… not Gav 🙂

      • I’ve been called worse, but yes it seems like a stupid petition to me, the solution is simple become a citizen…

  5. Just finished listening to Alan Kohler being interviewed on ABC radio…to summarise, he doesn’t see a recession happening anytime soon, and it’s a great time to buy housing.