Macro Afternoon

By in Australian Dollar, Australian Shares

| 173 comments

See the latest Australian dollar analysis here:

Macro Morning

The selloff has abated somewhat here in Asia with only local markets falling on the back of both iron ore and coal concerns, as the USD remains firm against the risk currencies with gold still flummoxed at well below the $1800USD level:

The Shanghai Composite is down 0.6% so far to remain below the 3600 point level while the Hang Seng Index has finally stopped falling with a minor bounce but is still below the 25000 point level, currently at 24765 points. Japanese stocks are also putting in some minor gains with the Nikkei 225 up 0.5% to 30484 points,  helped by a much weaker Yen as the USDJPY pair tries to get back above the 110 handle after recently hitting a new weekly low:

Australian stocks are the standout in the region by falling sharply, with the ASX200 about to close 1% lower at 7385 points as medium term support is wiped out while the Australian dollar was pushed through the 73 handle with momentum looking towards retesting the lows:

Eurostoxx and S&P futures are rising slightly heading into the London open with the four hourly chart of the S&P500 shows price tightly bound between the 4480 and 4440 point levels with momentum still not yet positive in the short term with the bears in charge – until the BTFD crowd steps in?

The economic calendar finishes the week with UK retail sales, Euro wide core inflation for August and then finishes up with the US Michigan consumer sentiment survey.

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Comments

    • boomengineeringMEMBER

      Had the whole week off from exercise.
      Got told off by the missus for eating. my favorite (chips) and that I should be more like Ermo adhering to his new diet.

        • boomengineeringMEMBER

          A shop in Curly who cut their own ( not packet,), fresh oil, and really dry them out so no grease, yum. Only second to m.y sugar cravings. Oh well time to be strong again and resist. Will be working WE after a dry spell.

          • bcnichMEMBER

            I’ve had to cut back, high cholesterol.
            Red rock sour cream & chili
            French fries but if they are soggy I send them back
            If you want really fresh French fries at McDonald’s, ask for no salt because they cook for you, your French fries on their own, guaranteed straight out crispy & warm- you don’t get your French fries from that soggy pit they serve everyone else’s from

            When I stayed in Brisbane city during Melb last lockdown, I had Thai every night for dinner & McDonald’s every day for lunch & my cholesterol went into red alert territory

            I just have a small hamburger & small French fries but it seems to be enough to push me over the limit

          • SnappedUpSavvyMEMBER

            Cos it’s pure sugar your eating, if you’re over 50 get a calcium score scan done on your heart, it will tell if you’re going to have a heart attack

          • boomengineeringMEMBER

            bcnich is famous around here often quoted for the reason for waiting before purchase of sea change.
            Was I interested in a factory building 500m2.at Yamba. Agent rang back saying a few hustling for it at 1.3 and 1.4 should secure it. Thanks but no thanks, o chance. They think that its the next Bryon. This will not end well.

          • boomengineeringMEMBER

            Worrying about your diet is worse than having a bad diet. The bone being pointed will kill a believer in 3 days, stress is far more dangerous. Regime starts again tomorrow after that therapeutic lay off.

          • boomengineeringMEMBER

            Not that again.
            That was a very long time ago.
            One idea I posted to Royal Invention later was life like robotic which came about many years after but as per usual with all my inventions no recognition for it.

          • SnappedUpSavvyMEMBER

            No diet is everything. Ever noticed how many tough as nails men in their 50’s and 60’s drop dead of a heart attack. It’s because even though they’re fit they’ve also eaten carbs their whole life which will clog your heart no matter what

          • Swampy

            Omg lol

            Snapped up savvy claiming people dying because too too much carbs

            I sharted myself laughing so hard

      • NoodlesRomanovMEMBER

        DIY question for everyone. I am installing some steel SHS columns in concrete this weekend. They are forming the posts for my pool deck. Do I need to put a cap on the bottom of the post? I can weld one on easily enough, but wonder if it is needed?

        • TailorTrashMEMBER

          Always over engineer it ……it saves nagging doubts in the wee hours …..( unless you’re an apartment builder )

        • boomengineeringMEMBER

          In the old days they used to cement handrails straight into the concrete until that system was found to incite rust at the entry level. Now they have foot plates bolted in on top of the concrete floor. unless stainless which can be done the old way. If you are putting these posts into soil then surrounding with concrete should be ok and no need for caps on bottom although to stop rain getting in caps on top would be good.
          Putting load bearing posts into concrete would depend on how deep the concrete and how strong a mixture but as per above a plate on the bottom would help with sound sleep especially that you can do it quite easily now.
          Dis disclaimer being that I’m far from being in the building
          industry.

          • boomengineeringMEMBER

            Another system to stop the post sliding past the concrete is to drill holes and insert bolts crossways, these can be welded instead of drilling.

          • NoodlesRomanovMEMBER

            Thank you everyone!! These are going into f’king rock, paid a poor bastard $500 last weekend to grind a set of tungsten carbide teeth off his rock auger (I knew we had sandstone but apparently there is pink granite about 200mm down) and I’ll make sure I form the concrete away from the post for drainage. It is a low deck so I’m going to fill them with concrete as well.

        • Swampy

          Our house on sloping block is a mix of shs formed into concrete and shs connected to tri piles – both annoy me. Prefer would rather footing connected to post so when something rusts it can easily be replaced

          Agree with over engineering . When we did our ludicrously large deck we did high wind gal supports direct into the footings with KD timber connectors allowing easily replacement of either and lam jarrah into gal supports. For a pool deck (which I’ll be contemplating soon) If I had to use SHS I’d try to avoid forming directly to footings

    • reusachtigeMEMBER

      Why would one have beer when one could have a glass of 1er Cru and think about the joys that their property portfolio gives them?

  2. Mr Tezza

    So, wasn’t it “Trumble” who went through extraordinary effort to appease the PRC by buying neither
    the Japanese diesel-powered subs nor the French nuclear-powered subs, but specifically opting for the latter with diesel engines?
    The pleasure of dropping those – priceless (+$2bn)

    • The Travelling Phantom 👻

      Lol it’s a country wide phenomena, here in Victoria they cancelled a road and tunnel project and paid 1 billion for tearing up the project.
      I’m sure the comradez from around different states can share similar incidents

    • Ronin8317MEMBER

      The Japanese sub purchase was a ‘captain’s pick’ moment from Abbott. The problem is range : it has half the range of the Colin class submarines, as Japan doesn’t need the range.

      The problem with the French submarine deal is delivery : it won’t be delivered at all under the current schedule.

    • TailorTrashMEMBER

      …and we laugh at China bulldozing apartments
      ……It’s only another form of job keeper ..innit ?

    • Swampy

      How’s your Dees flag bet looking?
      I’m on Oliver and Gawn (at very long odds mid season) for the Chas

      This week is killing me

      Need to pick a nice $50 bottle of red for the games maybe a gapsted saperavi

    • Arthur Schopenhauer

      Is that $1,000,000 taxable income? If it is a gift, wouldn’t the ATO want to know the relationship to Porter?

      Drug dealers have been pursued for less.

      Any lawyers out there?

    • bda2206

      According to a brief bio on her company website, Ms Luktuke began her career in Mumbai, India in 1998 with a leading commercial litigation law firm, before building her own legal practice with a specialist focus on business law and commercial litigation.

      She then migrated to Australia in 2007 were she earned a degree in Law from Macquarie University in Sydney.

      she’s just doing the needful

  8. SweeperMEMBER

    There is a lot of merit in what Evergrande shareholders are doing to management imo. Solves all the corporate governance issues, will mean management will think twice before raiding shareholders money and is actually how capitalism is meant to work. I hope they are successful and Western shareholders are taking notes.

  10. TailorTrashMEMBER

    Lot of ads for Ladbrokes betting ( and others ) on telly at the moment …that costs big bickies ………bet there are many a broke lad that pays for that …

    • JasonMEMBER

      Betting agencies are like superfunds. They all pretty much do the same thing so have to advertise to differentiate themselves. So much money being spent on just shifting market share around and of course it is existing customers (whether guaranteed by law or by addiction) who pay.

      • haroldusMEMBER

        You are one of the smartest cnvts on MB; I like to imagine you are Jason Donovan, posting in between looking for new, post-Rocky Horror theatre gigs.

    • MathiasMEMBER

      Sport… and Gambling on a Weekend. Only thing missing is Drug Dealers and Amphetamines advertisements.

      I dont watch any of it but was thinking how boring TV has become these days. Thankfully, I have the internet so I dont have to watch any of it. I only watch it when Im eating and barely for 5 minutes. Just long enough to say, ” Its crap… and Im glad I dont depend on this stuff “.

      The world could be dying from missile attack and I really would care ;p If its not on the internet then it doesnt exist.

      Anything that happens between now and the next election is just white noise to me.

    • The FNG.MEMBER

      I called them “BrokeLads” to some lads who were likely to use that service and they were stunned. They’d never considered that the name could be reversed and have that ironic meaning.
      That’s when I realised I was in the company of some particularly stupid blokes so I bailed.

      • TailorTrashMEMBER

        The thing is when ever I see an ad on TV that has a group of particularly stupid looking lads that are supposed to be portraying “Mates “ ….I know straight away it’s selling beer or betting ……of course the lads lap it up ….so it has to be good advertising appealing to its target audience

  16. MathiasMEMBER

    6 months to the next election. Thats plenty of time for another corruption scandal.

    15 years of house prices thats trashing the young. Business sector destroyed. Covid deaths. Corruption. War with China. Debt.

    We might as well trash the rest of Australia and finish the job.

    • haroldusMEMBER

      Just speculating here, if all the Southern MB pansies were to create a compound in Queensland, where would be the best region for us to buy.

      • MathiasMEMBER

        We all know Liberals are trying to evacuate NSW so they can open the migrant floodgates for Indians.

        Sydney will be the city of Indian and Chinese… and in a few years.. they’ll be writing Australias Laws in Parliament.

        I believe the plan is to destroy Australians and I cant believe people arent rioting over this.

        I know people who have lived in QLD all there life and most probably will be. They’ll probably end up dead soon because some NSW moron has bought out the place. Suicides the only future. There’s nothing left. Its either Murder-Suicide or Suicide. In a few years, you’ll have more Brenton Terrants because there’s no future left. They’ll be criminals while all these NSW cowards will get away with there crimes.

        There’s nothing clever about destroying Australia and killing off Australians.

        Its hard to fight a war when your countrys got no money left.

        Its good to see people having more of an appreciation for ‘Life’ instead of just working themselves stupidly into the ground 7 days per week. Unfortunately, those same idiots who come to Queensland to lap up all the luxury are also the same idiots who continue to preach there choir as they slowly try to turn Queensland into the same thing NSW used to be. We all know how thats turning out.

        I see it as the death of Australia. If this is going to happen, then Australia will be truly dead.

        I guess what I have been thinking is all Booms end in Bust eventually. I suspect when this one hits, its going to be impacting peoples lives in some pretty nasty ways.

        I saw Queensland just legalised Euthenasia ;p

        This is yet just another example of how the wealth disparity and bullying of NSW destroys Australia.

        For me, there’s nothing funny about this at all.

      • MathiasMEMBER

        It seems to me that corruption was yesterdays news. Nobody cares and we are getting away with it on a daily basis.

        We see corruption and we just dont care. In fact, we are used to corruption now.

        The new game is ‘organised crime’ and it wont be long before that turns into ‘violence’.

        Murder and Violence wont be too far away.

        The criminals are just testing the waters. They just want to see how far they can push the boundarys before things go too far.

    • MathiasMEMBER

      Lets invade NSW.

      Ignore the impacts, actions and outcomes going on in the present.

      Lets just call it ‘Politics’ and pretend we are doing all of this for ‘The greater good’.

      Lets invade NSW for ‘Freedom’… because Fck It… Why shouldnt we just be able to do whatever we want and when we want?

        • MathiasMEMBER

          NSW? Dont make me laugh.

          Lobbyists, Drug Dealers and Crack Whores.

          First sign of trouble and everyones fleeing the state. People may not be as loyal to your beliefs as you pretend they are.

          Would you like me to translate that into Mandarin so your sellout Chinese friends can come help you too?

  20. Hugh PavletichMEMBER

    China …

    Evergrandes near collapse discounts offers to investors … Stephen Engle of Bloomberg explains … 28% for residential, 46% for office space, 52% for parking lots and retail space

    Evergrande Offers Investors Discounted Property in Lieu of Cash … Bloomberg

    https://www.youtube.com/watch?v=RaWdNUqhFD4

    … and catering for the speculator market in the main (according to Anne Stevenson – Yang), Everergrande, with about 1.5 million buyers having paid likely 30% plus deposits for uncompleted residential units.

    Evergrande completed about 600,000 residential units last year. It has likely in excess of 800 projects in 230 metros throughout China.

    Check out just one of the Evergrandes stalled developments on the outskirts of the (6.6 million population) central China city of Luoyang, comprising 5 towers of condominiums and 16 blocks of apartments … reported by Yew Lun Tian of Reuters …

    At unfinished Evergrande apartments in central China, buyers seek answers … Reuters

    https://www.reuters.com/world/china/unfinished-evergrande-apartments-central-china-buyers-seek-answers-2021-09-17/

    What the Global Times (CCP mouthpiece) had to say back in 2018 … excerpt …

    Housing costs key constraint to Chinese consumption … Yi Xianrong … Global Times

    https://www.globaltimes.cn/content/1121946.shtml

    ‘… High real estate expenses have two aspects – housing prices and rents are both too high. A reasonable home price should be three to six times the median household ( individual … top 3.0 times for households ? – HP comment ) income. That means a family with an average income can buy a house with three to six years’ annual income. The house price to income ratio in China is above 50 in the first-tier cities and 30 to 40 in the third- and fourth-tier cities.

    But the whole country, from policymakers to real estate speculators, has turned a blind eye to the problem. These high housing costs are squeezing the consumption ability of Chinese people.’ … read more via hyperlink above …

    … and what the CCP said recently via Ambrose Evans Pritchard of the UK Telegraph …

    China’s ‘Volcker moment’ is a mounting risk to the global recovery … OPINION Ambrose Evans – Pritchard … UK Telegraph

    https://www.telegraph.co.uk/business/2021/09/01/chinas-volcker-moment-mounting-risk-global-recovery/?WT.mc_id=e_DM1485705&WT.tsrc=email&etype=Edi_Edi_New_Reg&utmsource=email&utm_medium=Edi_Edi_New_Reg20210902&utm_campaign=DM1485705

    ‘… The Party has concluded that the house price spiral is triply corrosive: it is a financial black hole; it is the chief cause of cancerous inequality; and it is a strategic threat through the demographic channel. …’

    Guess where all this is heading ?