The AUD has softened a bit this morning:
Bonds are still deludedas the curve mysteriously steepens:
XJO is plastered. It has a long way to fall before uptrend support:
Iron ore bashed:
Big Iron bashed. FMG has broken its head and shoulders top:
Big Gas in free fall:
Big Gold is going from disappointing to disastrous:
Though not so much as the Big Banks. WBC is at new two year lows:
Bye, bye Big Realty:
Blood everywhere and all we have doine is blow a few months froth off the top. Discounting COVID-19 is next.
David Llewellyn-Smith is Chief Strategist at the MB Fund which is very conservatively positioned for coronavirus risks.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
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Macro Afternoon
Well here with go again with more selling as
Nothing can save tourism
Via The Australian: Australia faces an
ASX bath of blood returns as banks put to sword
The Australian dollar's RBA stupdity premium is
China dumps LNG
Via Bloomie: China National Petroleum Corp. has
I think the steepening is related to the new TV series on CH 10
AUSTRALIA “Get me outa here”
So WHERE is safe to keep money?
Gold….and if you have money with some of these iteractive brokers dudes, i would look to pulling it out….soon as they start upping margins, thats the red flag, all margin’d up…dont be like MF Global.
Hi Divya, Ask myself the same question every day. I think the only answer is spread around in the best places you can find.
bcnich says get it out of Australian assets and currency. I agree, so far as that is practical for you.
I would have thought that EVN and big gold would be a good bet and different from the rest of the market as they benefit from both rising gold & a falling AUD.
i think this is due to margin calls being triggered so people have to sell.
Might depend on whether people really believe gold is going to hold up if this is a full global rout – which, in my view (I could be wrong) means dump almost everything else and run to USD (ie. money going home).
My 2c
In times of famine, potatoes are worth more than gold
David, I think you should also place Damian’s abc interview at the bottom of the charts. The Mac guy looks really silly now. lol
So glad the Accumulation part of my Super has <10% exposure to ASX. Aussie bonds have been my hedge and I transferred a large amount of my Super to cash last November, as it was risk on left, right and centre.
Plan to move it all into shares once this bloodbath is well and truly over. Not for a while yet…
Same here. Return of capital is more important than return on capital for me right now.
Same, moved to 80% conservative in First State 1 month ago
You may be about to find out how non-conservative “Conservative” actually is.
How are the unit prices recently?
Spose we will
Dunno, it’s not my core funky focus to watch them daily
Mine is in the most conservative option my fund offers that isn’t cash. I’m currently down from peak a couple of $K.
Glad I moved so many shares to cash when I did, gains for the year are all gawwwwwwn…. previous gains locked in with rubbish interest rate, but locked in.
Anyway, I’m only 40 so this is a very long game. I try not to switch options more than once a year and even then, only if there’s a strategic advantage; but risk was building and that just increased the likelihood of a pandemic/war etc tipping things over the edge into a full on bloodbath.
Same, last July, 80% defensive.
I advised friends on Saturday to do it, now one of them is calling me for advice, her advisor is telling her to stay with shares, cos the market will recover, it always does, and they are a long way from retirement, how to argue this? We would be missing out on the dividends, so maybe makes sense?
Few things
Most fin advisors are imbeciles
Equities don’t always bounce back but they will this time
@Torch
@ Andrew
I strongly suggest BE VERY VERY careful on bonds
Yes they’ve been a ripper
When ? And I’m not sure I believe they will turn it will be a blood bath
Let’s keep an eye but I really like ASX around 5700
and yes, not over yet. South Korea, Japan and Italy are yet to start to shut their manufacturing plants. This is when real pain starts.
such a massive sell off usually means NYSE will bounce 2% tonight – this time is different perhaps?
– I am confused. Big Gold is going great.