ASX falters and Chinese stocks continue to climb

See the latest Australian dollar analysis here:

Australian dollar drops as RBA talks it down

by Chris Becker

Leading into the afternoon session, Aussie stocks are going nowhere, unable to move higher despite another big surge in mainland Chinese issues and the lift from Wall Street overnight, as traders remain cautious going into today’s RBA meeting (2.30pm AEST):

The Shanghai Composite has gapped nearly 2% higher at the open almost hitting a two year high, following through on its stonking 5% gain yesterday as the CCP pushes its citizens into buying up big on stocks:

Meanwhile, the PBOC has strengthened the Yuan, setting the reference rate for today much lower at 7.0310 vs 7.0663, with offshore trading tanking down to the 7.01 level sharply:

Japanese stocks are off around 1% while gold remains static at its new monthly high as it inches towards the previous record high.

Meanwhile you have to laugh at some of the economic forecasts coming out that say that either Biden winning in November means that US equities will continue to froth higher, or that a proper economy recovery in the US will actually see Wall Street tumble as the punchbowl is taken away. What about a second Trump term?

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Comments

  1. DingwallMEMBER

    China …. buy stocks … must … make…it … look …like … the …. economy….. is …. going …. great … guns

    If you don’t buy, you’re social credit score WILL go down……………

  2. In 2016 the Dems suggested that Trump’s policies which included massive corporate tax cuts would result in a stock market crash. You have to lol at the propaganda.

    The Market Huddle podcast late last year analysed market positioning which suggested a 30% US stock market crash if Dems won in 2020. That was with Sanders as the lead candidate but you still get the picture of what the smart money is betting on.

  3. Brahmin Australian

    It’s all going back to normal in China. Country of 1.4 billion basically not affected by the worldwide pandemic.