Macro Afternoon

See the latest Australian dollar analysis here:

Macro Afternoon

A very mixed start to the trading week here in Asia following the reversal in risk sentiment on Friday night on Wall Street, but its been overshadowing by the trading halt in Evergrande shares on speculation of a takoever and the absence of mainland Chinese risk trading due to a long holiday. Caution is the catchword, with US futures flat while the USD is largely unchanged against most of the risk currencies with gold also unchanged at the $1760USD per ounce level. Meanwhile Bitcoin has been unable to advance on its Friday night epic surge, still hovering just below the $48K level which represents the previous weekly high:

Mainland Chinese markets are still closed for a holiday while the Hang Seng Index is responding to the trading halt in Evergrande with a 2.2% loss down to just over the 24000 point level while Japanese markets were also in sell mode with the Nikkei 225 closing 1.1% lower to 28447 points. The USDJPY pair is very flat, hovering just above the 111 handle after making a new weekly low previously, with momentum still deeply negative:

Australian stocks have re-engaged to the upside, with the ASX200 lifting almost 1.3% to start the week with a bang at 7278 points while the Australian dollar is slowly eking out a small lift after the weekend gap, now sitting at the 72.70 level but well below last week’s high:

Eurostoxx and S&P futures were down nearly 0.4% before recovering to a flat level going into the London open, with the four hourly chart of the S&P500 showing a rebuff of overhead ATR resistance despite Friday night’s rally, with momentum still negative:

The economic calendar is very quiet with US factory orders the only event of note.

Oh, and curse daylight savings, or the lack of it here in Queensland!

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Comments

  1. The Travelling Phantom

    Scomo among the first getting Pfizer which means the efficacy nearly ran out… I hope he’ll get lots of people sneezing on him

    • Young Phantom, do you think any world leader actually got a true vax? Just checking…This place has gone a bit wild and wooly, just need to think about it a bit…Bit hard for you fellahs in the big smoke’s , I grant you that…..But to trust that galah’s integrity on anything? I say not….send him out my way, I will give him a vax of cydectin weanerguard for the MB team…young Gav will hold him down for me..

  2. The Traveling Wilbur ๐Ÿ™‰๐Ÿ™ˆ๐Ÿ™Š

    Dam [sic]. Becker beat me to it.

    First day of DST down-south + WFH makes all Qld MBers a very happy, on days with weather like this, socially distant pub patron an hour earlier than usual even! Right CB? ๐Ÿ˜‰

  3. So, wait….that’s it.?…. Bruz resigned this morning at 09:30 and not a peep here at MB?

    The Premier and Deputy Premier of NSW both resign in the space of three days just as we head into the dark storms that are dead ahead of us… and now, they exit… stage right?……and it’s met by complete silence here…?

    Wow!

      • Yep
        Politically the NSW govt is looking raddled. National leader John Baralino has just resigned
        https://www.echo.net.au/2021/10/the-first-rule-of-fight-club-as-barilaro-bows-out/
        Transport Minister Constance also resigned earlier than planned, along with some cabinet nonentity who is charged with sexual assault.
        Health Minister Hazzard is said to be going as soon as NSW reopens from Covid, along with one or two other ministers.
        Perritott must be real bastard that noone wants to deal with.
        It is being rumoured that Baralaro is being investigated by ICAC, and it is not beyond the bounds of possibility that the new premier Peritott will be investigated over his management of the Workers Comp ICARE debacle.He will lead a govt. already in minority, and beholden to 2 independents who both are pushing an assisted dying private members Bill thru the upper and lower chambers which will hugely challenge the religious rights political nous. Having at least 3 bye elections in coming months into the teeth of what promises to be
        more and bigger Covid outbreaks will be a huge challenge for themโ€ฆ and us.
        So 2 party leaders, Lib and Nat, and another minister have all resigned in three days, with another 2 or 3 to follow
        I just read that Gladys Berejeklian is being sounded out to run for the federal seat of Warringah.
        The Libs donโ€™t seem to understand that she is going to be charged with Criminal offences. They think she will be exonerated, if so why did she resign from the Premiership, the Cabinet and the Parliament ?
        That corrupt Labour Premier. Nifty Nev.Wran stood aside and when found not to be corrupt resumed his job.

        • Hmmm…vax remorse,? Strange things , humans, they can talk about their vax , not like my sheep….Politicians remorse , take a bunch of money to promote a vax..must be a lucrative deal I guess? Best take a deal whilst one can…before the bodies pile up…

        • FDA Banned Boosters

          It’s quite an extraordinary tale. Wouldn’t be out of place in a spaghetti western!

          • Mining BoganMEMBER

            A lot of spaghetti westerns were stolen from Asian cinema.

            Hey, are you saying Bruz takes money from Asians? Or from Spaghettis?

    • Mining BoganMEMBER

      I liked the bit where he said he struggled with scrutiny.

      Yes Bruz, all deals should be done in the dark shadows.

      • Do you even *know* how hard it is to count banknotes in the dark? ‘Cause you can’t trust none of these cntลก to give you the whole bribe amount and not replace it with cut newspapers ….

        • Young bloke, because I find you a fellah gardner, I would say whilst there are seeds available , go hard and buy up.Put a chunk in the freezer.Start making as many veg beds as you can.Get 4 chickens and a quiet rooster.Listen to Bcnich , buy some cases of veg ,beans , past,rice..re-chargeable batteries and a charger.Dont delay…off you go tommorrow..

      • Who else from the NSW govt is in these papers? Might be an indication of who’s next to deploy the parachute ๐Ÿช‚

  4. Hugh PavletichMEMBER

    China update …

    Cost of shipping between China and U.S. plunges … Caixan / Nikkei Asia

    https://asia.nikkei.com/Spotlight/Caixin/Cost-of-shipping-between-China-and-U.S.-plunges

    Chinaโ€™s growing electricity crisis … News com au

    https://www.news.com.au/finance/economy/world-economy/xi-jinpings-power-plays-collapse-chinas-electricity-grid/news-story/8dcefd6400a409d656a7ca1d5df118cf

    A Chinese Company Decided to Move Its Manufacturing to the US โ€ฆ The Specifiers โ€ฆ YouTube

    https://www.youtube.com/watch?v=rVNaaeI96tY

    China Insights … Youtube

    https://www.youtube.com/channel/UCwjvvgGX6oby5mZ3gbDe8Ug

        • But riddle me this Mr Tezza- why does Gladbags even have a legacy?
          If sharp lockdowns work then NZ and Victoria would have eliminated delta and Gladbags would have no legacy.
          If such lockdowns don’t work then what more could she have done?

          • It’s a legitimate question, so I am going to answer it as best I can.
            Surely, you would have noticed that the NSW infection rates can go down, too (although it took almost 3 months from the 1st case).
            More importantly, you see how NZ has effectively isolated Auckland from the rest of the country.
            Your beloved fuhrers strongly opposed any suggestion of implementing the ring-of-steel around Sydney.
            So, try and be grateful, instead of labelling the ex-fuhrer a “Gladbag”.
            I went into the PROPER lockdown in ACT on the 12/8, i.e., BEFORE you did.
            And then your ex-deputy fuhrer declared (via Twitter) the lockdown for regional NSW, ostensibly due the ACT outbreak.
            My point, keep cherishing your Lumpen Nazional Partei fuhrers, even when they deserted you.
            Eventually, they did cause pain to some of youse, but only after they willingly screwed up the lives of so many outside their state.
            So very, very fuhrer-like…

  5. Mining BoganMEMBER

    Fat Bear Week is getting down to the nitty gritty.

    https://explore.org/fat-bear-week

    Walker the Bear has moved to the final, eagerly waiting to face the winner of the playoff between long time favourite Otis and the young upstart 812, who is struggling with the knowledge that he doesn’t have a name. On his side though is the fact that Old Man Otis is missing a lot of teeth and naps a lot, therefore interfering with his ability to fat up.

      • Mining BoganMEMBER

        It’s a Hollywood tale being lived out in front of us. A two-time winner coming back to the fore, showing imposing gains despite an inability to chew.

        812 cares naught for this old man though. His leg forward eating style is what has won him fame amongst fat bears on dance floors around the world.

  6. reusachtigeMEMBER

    Hey everyone knows that I despise bogons so you can imagine how sickened I have been today watching footage of all the partying going on in Penrith/Mt Druit (even more houso than Ermington). That’s got super-spreader written all over it. Also, I’d prefer my dole taxes were going to better use.

  7. Anyone else hear about the Fair Work Commission ruling on mandatory Covid jabs……does Fed Trump State law?

  8. ErmingtonPlumbingMEMBER

    Farther up it was asked,
    Is Barilaro in the Pandora papers ?
    Good question.
    Why did Barilaro really resign?
    Anyone?

    • Short answer, he allegedly pulled a Barnabรฉh… amongst a litany of other horrendously dodgy sh*t! truecrimenewsweekly may help elucidate this for you.