Macro Afternoon

See the latest Australian dollar analysis here:

Macro Afternoon

Stocks are generally down across Asia with only local issues rising due to the fall in the Aussie dollar as the latest unemployment print undershot, sending interest rate expectations down with it. The risk off mood hasn’t been helped by a slip in Chinese industrial production numbers alongside retail sales.

Chinese stocks are diverging in fortunes with the Shanghai Composite bouncing back above 2900 points by climbing over 0.4% going into the close, currently at 2917 points. The continued chaos in Hong Kong is keeping things nervous on the Hang Seng Index which is down 0.8% to 26368 points. With price now well below trailing ATR support and the previous support/resistance zone a full retracement down to 25000 points could be warranted:

Japanese share markets remain in selloff mode with the Nikkei 225 closing 0.7% to 23162  points. Yen buying on the risk off trade is not helping with the USDJPY pair now cracking below the 109 handle and trailing ATR support as the trendline from the late October is definitively broken:

The ASX200 rebounded on the poor unemployment print, closing at 6735 points or 0.5% higher to get back above the very important resistance level at 6700 points.  The bottom fell out of the Aussie dollar as the Pacific Peso flopped on the numberwang print, heading straight to the 68 handle – tonight’s session will be very interesting:

Both S&P and Eurostoxx futures are steady with the S&P500 four hourly chart showing price still above trailing ATR support, but continuing to track sideways at the end of last week’s highs as momentum remains poised for a breakout above 3100:

The economic calendar has a big one to watch out for – European GDP, followed by US initial jobless claims.

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    • Just remember, when Scomo says “Quiet Australians”, it isn’t a description.

      It’s an order.

        • Mining BoganMEMBER

          He already has the AFP *waves* confiscating placards from protestors where Scummo is spreading the spin.

          We’re not far from people being disappeared completely. The laws are already in place because terrorism and freedoms.

          • Good on you for recognising this because too many people (members of this blog) think that hate speech is a good idea. It is a horrendous idea. Sites like MB will be shut down in the years to come. Those who think: It will never happen have their brains implanted in their ar$eholes. When the ’emergency’ gets big enough the gubbermint will resort to stuff you couldn’t previously imagine.

  1. Just heard from my friend in HK that all school is out until Sunday. There will be serious crackdown this weekend.

    • You’d have to think the next epidemic has to come from China or India. I don’t know how they even manage to control the flu in such densely packed countries. One day something is going to jump the species barrier and wipe half of us out.

      • Mining BoganMEMBER

        Going by the state of the toilets at work I wholeheartedly agree.

        Interestingly at the boy’s school they’ve had troubles with older kids having little accidents. Seems they won’t use the school toilets because disgusting poo everywhere every day so little kiddies are trying to hold it in then failing. Embarrassing for everyone yet the school is a bit squeamish in taking the problem on because of racialistism or the likes.

        Some of the kids are quite affected by it all.

  2. Banana ManMEMBER

    Higher density means more people will be around to help with a crisis. I’m pretty sure that’s why everyone wants inner city units. Definitely worth a sq ft premium compared with rural areas.

  3. motorbikes sales in Indonesia are down 2.1% and cars sales down 9.5% – YoY that is. not that anyone cares but still good to know, you may use it as convo in your local pub while perving and sipping beer.