Macro Afternoon

See the latest Australian dollar analysis here:

Macro Afternoon

A mixed day here in Asia with some stock markets following Wall Street down, some advancing particularly in China and its Australian satellite.  Currency markets are equally quiet with gold almost unchanged with the major investment houses still wracking their brains over what to do with Chinese GDP expectations in the wake of the coronavirus outbreak.

The Shanghai Composite is clawing back its previous losses, up 0.5% after the long lunch break to 2920 points while the Hang Seng Index is up 0.6% or so to 27895 points. The recent break out above the high moving average on the daily chart has been followed through here, but firm resistance still lies at the 28000 point level above, as momentum is still not yet positive:

Japanese share markets had the droopies with the Nikkei 225 losing 0.6% to 23688 points, as safe haven buying in Yen continues to hinder the recent uptrend. The USDJPY pair remains below the 110 level and is almost unchanged but I’m still watching the 109.70 support area that has held all week:

The ASX200 lifted alongside its Chinese peers, looking set to close the week out on a very positive note, up 0.5% to 7134, remaining well above the 7100 barrier. The Australian dollar is nearly unchanged however, still unable to sustain itself above the 67.40 level against USD, but keeping the 67 handle proper away for the time being:

Eurostoxx and S&P futures are up slightly with the four hourly chart of the S&P500 still showing price bunching above the 3370 point level, getting ready for another breakout but trailing support is relatively close:

The economic calendar finishes the week with German and EZ wide GDP figures for the 4Q 2019, then US retail sales for January. Have a good weekend!

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  1. Interesting that basically we are not testing locals for coronavirus unless you meet strict criteria. I call bs that our numbers haven’t budged in over a week. It is here and everywhere already considering how contagious it is on that ship. I and so many at work and friends are either currently sick or were sick recently all with the same upper respiratory cough and phlegm. I haven’t had a cough like that in decades and it’s summer of all times. I saw an article in the local snot rag the other day about symptoms of pneumonia, not coronavirus. Great timing. Something really fishy is going on. I think the plan is to let it spread its wings behind the scenes and may the fittest survive. In the meantime the media will continue playing it down to avoid panic on the stocks. Gotta be a reason why China is copping it really badly there is more to this story too. The Brit on the ship that tested positive was a carrier while showing no symptoms.

      • The Traveling Wilbur

        I love that you knew to quote that.

        People can learn a lot from watching Buffy.
        Most pertinently, that when the government invites you to join them in their secret bio-weapon (yes, that’s what they were) research lab shenanigans, just say “no”. (not “but he’s so cute, we’ll see how this superry-soldierry thing works out first?”.)

        • Mining BoganMEMBER

          What we need is the season 4 chip that when placed in Spike’s brain stopped him doing things vampirey. Could do with a few boxes of them actually.

          • Christopher Pyne could do with about a dozen of them first off, just to err on the side of caution.

    • 218 cases off the Diamond Princess, people are pretty confined onboard, food delivered, limited spaced out exercise/outside time.
      I wonder would people in a apartment/town/suburb/city be out and about a little bit more spreading or catching it ?

    • That’s because doctors have been sending any Chinese with a cough for testing, despite not visiting China or showing any other symptoms.

    • reusachtigeMEMBER

      LOLOLOL cool story bro. Meanwhile, I haven’t ceased intense relations with beautiful Chinamen-like ladies and I’m banging harder than ever. It’s all #fakenews man!

    • reusachtigeMEMBER

      You have a marsupial fetish bloke and it’s probably not a safe thing considering their intense Chlamydia infections.

      • Mining BoganMEMBER

        Hey, Australia has 250 types of marsupial furries. It’s impossible not to fall in love with at least one somewhere in one’s travels.

  2. reusachtigeMEMBER

    Apparently the truth news is that the #Chinamen have sent out #plague ships and one has arrived in #Sydney. Do we accept it or do we blow that fckn #disease ship out #of the water before it’s too late? In the #future, the few remaining historians will quote #my question as being timely yet #ignored. They will also link to my sexual #prowess. Just sayn.

  3. Apparently ScoWu’s mate rejects the ANAO’s findings but reckons the sports grant programme did lack transparency. In Gaetjens submission, he did not appear before the Senate enquiry, “he did not interview anyone from the prime minister’s office, and acknowledged he did not have all the information available to the ANAO. The Gaetjens submission did not address the ANAO’s finding that it was “not evident” what McKenzie’s legal authority was to approve grants.”

    Phil Gaetjens rejects claim McKenzie’s grants program targeted marginal seats

  4. Ahh the wingnuts are having a sad …. necessitates blaming it on anything else than their wonky vision about reality … rim shot …

    • Sigh Gav …. QTM has nothing to do with it, more like M – M financial wealth and people looking for the next thing to pile into for a big payday down the road.

      The same thing can be said of art:

      So considering the time line how did central banks inflate the price of this object, not to mention the distribution vectors for the flow of funds to enable the price to be bid up or the psychology which assists the desire for such objects at such prices.

    • I remember when i was 12-15 and almost playing some left hand mouse reading through the prestige motor sport emails about s13s, R32 GTRs, 300zx and supras.

      • Yeah all my hero cars. Are still my hero cars today. I got myself an Rx7 (FD) and Nissan Stagea (rb26). Now prices of all these cars are going crazy.

        • I used to have a 1979 S1 Rx7 with mechanical secondaries. As much as I’d love one now, I’d probably get frustrated with the manual windows, lack of power steering, shitty aircon etc…But, having the tacho buzz me when i was redlining it was amazing.

          There’s been talk for years that Mazda is bringing the Rx7 back and modernising it – probably would be the closest I’d be convinced to buy a modern sports car. Imagine if a specced option was to have a bridgey or 20b in it!

          How often do you take out the FD?

          • Unfortunately the FD shat a water seal about 12 months back. I didn’t want to pull the motor down while it was in Sydney. So I’ve towed it to Melbourne and will take it apart after I’ve moved into my new home.

            It used to be my primary car in Dublin/Ireland. I didn’t drive it as much in Sydney because I kept having a coolant buzzer issue which I finally diagnosed as a water seal. I tried everything else first hoping it wasn’t that.

            I can’t wait to get it back on the road. Once you’ve driven a rotary you understand. Such a great motor for a sports car. Although I do love the RB26 also!

            A 20b would be so awesome, but I can’t justify it with all my other car projects. Maybe someday though! Since mine isn’t a Spirit R or Type RZ special version I can modify it with less guilt.

  5. NEW ZEALAND … Jacinda Arderns government in trouble …

    The political costs of failing to deliver … as promised …

    ‘I’m over it’: will disillusioned voters spell trouble for Jacinda Ardern? … Eleanor Ainge Roy … The Guardian

    With seven months to go, the internationally acclaimed PM must tackle queries over whether she has done enough at home … read more via hyperlink above …