Australian dollar rocket roars higher on technical breakout

The Australian dollar breakout is catapulting the battler higher as expected:

Bonds are stable:

XJO is up moderately:

Dalian is soft again:

Big Iron is mixed. FMG is at new post-crash highs. Not discounting anything but good news much there:

Big Gas is trading higher but remains at very high risk of more trouble with oil:

Big Gold still frustrating:

Big Banks are enjoying a relief rally. ANZ up 5.3% when it’s odd-on to issue capital in a few days is another noteworthy moment of madness:

Big Realty sees a return to boom times:

Funny stuff. Much of the XJO remains much lower than the runaway US stocks in the US. But it is still very expensive with local growth prospects very poor as immigration founders, housing with it, and iron ore next to fall.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. 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.