Bank bid blows up

The Australian dollar is hovering at the highs this morning even as S&P futures fall:

Bonds are firm:

XJO has gapped lower at the open:

Big Iron is up:

Big Gas down with oil’s struggles:

Big Gold is warm as DXY softens:

The Big Bank bid has run into a big reversal. The whole value rotation thing is supposed to happen as interest rates rise. In bank’s case, it is so that net interest margins widen with a steepening yield curve. There ain’t no rising rates today:

Big Chunt still has no business but why let that stop ya!

Still, after a ripping run of fakeflation, profit-taking is to be expected.

David Llewellyn-Smith
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Comments

  1. Goldstandard1MEMBER

    Was just thinking the same thing on some profit taking today- clean up some previous big losers from 8 weeks ago and be completely out. This ‘close your eyes and hope’ approach is too unfounded and reaks of zombie businesses.
    Rip cord at the ready.