Macro Afternoon

See the latest Australian dollar analysis here:

Macro Afternoon

Asian share markets are very mixed across the region, with only mainland shares in China rebounding as other markets continue to reflect volatile risk sentiment on overnight volatility. The Yuan dropped further today on more concerns about Chinese growth while other currency markets are seeing continued firming in USD although Yen is lifting on Governor Kuroda comments about inflation. Oil prices are inching higher, with Brent crude now hovering just above the $116USD per barrel level while gold is falling back to retrace below the $1850USD per ounce level, having lost all its gains for the week now:

Mainland Chinese share markets have continued their rebound with the Shanghai Composite up 0.5% to 3123 points while the Hang Seng Index is falling back again, down nearly 1% to retrace back below the 20000 point level. Japanese stock markets remain on the defence as well, with the Nikkei 225 index losing nearly 0.3% to close at 26604 points while the USDJPY pair has given back some of its overnight gains, still dicing with the 127 level as Yen defensive buying has not yet abated:

Australian stocks pulled back throughout the session with the ASX200 finishing 0.7% lower at 7105 points, and just keeping the key 7100 point support level intact. Meanwhile the Australian dollar can’t get back above the 71 handle against USD following yesterday’s rate rise from the RBNZ plus the FOMC minutes overnight as weakness is creeping in at significant resistance at that level:

Eurostoxx and Wall Street futures are slowly rising as we head into the European open with the S&P500 four hourly chart showing price wanting to get back towards the key 4000 point level as intrasession volatility is building again:

The economic calendar will focus squarely on the 2Q GDP estimates for the US economy tonight, followed by pending home sales data.

 

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Comments

  1. The Travelling PhantomMEMBER

    Where’s Boom?
    Hopefully he’s busy with big job and it’s not covid or monkey box

  2. The Travelling PhantomMEMBER

    Lol I’ve read, and I need to check if true
    Economists have predicted 5 out of the last 153 recessions (IMF research)

    • The Travelling PhantomMEMBER

      When I talk with my American friends they still ask me back , so what will you be going to do Down Under with an invasion comes and no one has a gun?

      • America is trapped in its culture and its talking points. Just like everywhere else is with theirs. It’s just that this one is unnecessarily tragic.

      • Nobody? My gun collection is well into double digits, including a variety of stress relieving semi-automatic handguns.

        Sadly, they’re useless against the current invasion, where the waves of invaders are legally landing at Sydney airport every day cunningly disguised as “students” and “immigrants”.

      • Outsource to cheaper bidders who might have more experience with these types of events. Although some might need to be told their enemy isn’t an old family feud from back home…. Instant & free PR of course.

      • Do your friends ever consider how dumb that question is? Invasion from where and what’s their military that has all the training doing while this “invasion” is going on. Did the everyday Joe Blow pick up a gun in Ukraine and beat back the Russians?

        Same when the excuse is to defend themselves against their gov. Dumb, dumb, dumb!

    • She doesn’t have to be beautiful
      She doesn’t have to be smart, no
      She doesn’t have to be rich
      But I would like to ask for one thing
      @bcnich

  3. Fact- Penny Wong and Albanese have now done more in the past 3 days then the LNP did in the Pacific in the past 10 years and over 3 prime ministerships..

    They are playing it note perfect. MB has lost the plot.

    • The Travelling PhantomMEMBER

      Lol the footage is funny him/her/they sneaking from the back door like a thief. If it was US of A he/she/they might got shot!!

    • I think she does, otherwise why would she give him so much airtime? He’ll do well out of it.

    • The Travelling PhantomMEMBER

      Well haven’t they been advising the young and new immigrants to move to country side..well both groups aren’t nationals voters. I was told by a Malaysian couple the other day they are moving to country Victoria as it gets them PR much quicker!!

      • A number overpay for a business, lay local staff off, understock on everything & run it into the ground (so long as it stays open for 2 years). Then as soon as they get their ticket they’re straight back to the city leaving their mandated self serving damage behind them.

        • Mining BoganMEMBER

          Happens a lot in every local shopping strip. Thinking our favourite fish’n’chips has just been taken over in such a manner by Indians. Prices up, quality down, usual kids no longer there, crowds disappeared, no f#cks given.

          It’s a crying shame.

          • My new local chipper has gone opposite, got better after a colourful take over and now sells durries as well, not sure if they have the correct tax and excise stamps on the branded and not green packets…..

  4. There’s a guy on Twitter fairly adamant the ADGSM cannot be triggered right now “because geopolitics “.

    I said beg yours can you explain how and rebut the MB piece

    What in geo politics stops Albo saying alright maggots were taking 20% at $1/GJ If you don’t like it we’ll be targeting you with a RRt and tell the public loud and clear you’re stealing the gas killling industry and causing power prices to go up

    • That’d be the biggest shock I got since I came across Dorothy the Dinosaur on Reader’s Wives.

  5. “Occult club registration rejected after complaint it may summon Satan to University of Adelaide”.

    A club for pagans, witches and Satanists says its affiliation with the Adelaide University Union has been rejected because of a complaint its members may summon the devil onto campus. “Even if we did want to summon Satan, it’s not against university or union policy to do so, so it’s still not really grounds to reject us,” Adelaide University Occult Club president Ashley Towner said.

    Ashley, who goes by the pronouns they/them, attended the clubs committee meeting and was told there was only one complaint about the club and that had stemmed from an ABC article.

    According to them, the complaint claimed that the club wanted to summon Satan to the University of Adelaide and that “occultists are always involved in criminal activity”.

    Ashley said both contentions were untrue.

    They said they were unaware of anyone in the club believing in “the literal Satan existing” and rituals were not part of the club’s activities since its 30 members had such varying beliefs.

    Had to look twice to confirm I hadn’t accidentally stumbled onto a satirical news website!!

    https://www.abc.net.au/news/2022-05-26/adelaide-university-occult-club-registration-rejected/101097552

    • Morons! If they said that they’re sponsoring Satan with a student visa, the dean would’ve tripped over himself to roll out the blood-red carpet… but now? Opportunity wasted.

  6. Hugh PavletichMEMBER

    New Zealand …

    Orr Says RBNZ to Hike at Pace to Contain Inflation Expectations … Bloomberg

    https://www.bloomberg.com/news/articles/2022-05-26/orr-says-rbnz-to-hike-at-pace-to-contain-inflation-expectations

    Shock and Orr: Why the RBNZ has no regrets raising rates … OPINION Jonathan Shapiro … Australian Financial Review

    https://www.afr.com/markets/debt-markets/shock-and-orr-why-the-rbnz-has-no-regrets-raising-rates-20220526-p5aoqv

    Latest Reserve Bank figures show the average-sized new mortgage hit a new record high of over $400,000 in April – while far fewer people were scrambling to borrow … David Hargreaves … Interest Co NZ

    https://www.interest.co.nz/property/116101/latest-reserve-bank-figures-show-average-sized-new-mortgage-hit-new-record-high

    The number of mortgages issued in April plummeted – while the average size of them still continued to increase, reaching a record high, the latest monthly mortgage figures just released by the Reserve Bank show.

    The latest figures show that in April 2022 just 13,939 mortgages were issued, which is the third-lowest figure for a month since the RBNZ started producing this data series in 2014. The April figure was down from the well over 18,0000 mortgages issued in March 2022.

    The only lower figures were recorded in April 2020 – when New Zealand was to all intents and purposes shut – and in January of this year when the market appeared to have temporarily frozen completely in the wake of new changes to the credit rules. … read more via hyperlink above …

    Twenty four hours after the RBNZ hiked the Official Cash Rate by 50 basis points, no bank has announced any rate change … David Chaston … Interest Co NZ

    https://www.interest.co.nz/personal-finance/116105/twenty-four-hours-after-rbnz-hiked-official-cash-rate-50-basis-points-no

  7. Hugh PavletichMEMBER

    China …

    Xi-Li Discord Paralyzes Officials Responsible for China Economy … Bloomberg

    https://www.bloomberg.com/news/articles/2022-05-26/xi-li-discord-paralyzes-officials-responsible-for-china-economy

    China’s Premier Gives Dire Growth Warning in Unpublished Remarks … Bloomberg

    https://www.bloomberg.com/news/articles/2022-05-26/china-s-premier-gives-dire-growth-warning-in-unpublished-remarks

    100,000 Chinese officials attend emergency meeting to revive Covid-hit economy … CNN Business

    https://edition.cnn.com/2022/05/26/business/china-state-council-economic-meeting-intl-hnk/index.html

    China GDP: economic growth likely to ‘fall far short’, premier admits as crisis concerns mount … SCMP

    https://www.scmp.com/economy/china-economy/article/3179234/china-gdp-economic-growth-likely-fall-short-premier-admits