Macro Afternoon

See the latest Australian dollar analysis here:

Macro Afternoon

A sea of red across Asian share markets despite the somewhat positive overnight lead from Wall Street as traders react to the steep falls in commodity prices and growth fears. The defensive USD is keeping Pound Sterling and Euro at its heels, while the  Australian dollar was essentially unchanged after being floored overnight post the RBA rate rise that had been priced in already, remaining depressed right on the 68 cent level. Oil prices are trying to stabilise from their big falls overnight, with Brent crude just above the $104USD per barrel level, while gold is treading water as gold bugs chew their fingers following last night’s flog through what was support at the $1800USD per ounce level:

Mainland Chinese share markets are dropping sharply going into the close with the Shanghai Composite down nearly 1.5% to 3353 points while the Hang Seng Index is off by more than 2%, currently at 21343 points. Japanese stock markets are also selling off, with the Nikkei 225 index closing some 1.2% lower at 26107 points while the USDJPY pair has found a modicum of support at the 135 handle after rolling over slightly overnight as the previous bounce off support from Friday night failed to sustain momentum:

Australian stocks were the best relative performers, with the ASX200 finishing 0.5% lower at 6594 points. The Australian dollar remains on the ropes although its had a tiny surge throughout the day, just a reaction to the overnight whalloping to the mid 67 cent level with the overall trend still down:

Eurostoxx and US futures are faltering as we head into the European open, with the S&P500 four hourly futures chart showing price action contained just above the 3800 point level with momentum wanting to swap into the positive zone and get price back above Friday’s closing point, but finding resistance to hard to climb over:

The economic calendar has some basic construction PMI data first in the European session but then hots up with the latest US non-manufacturing ISM print and the release of the latest FOMC meeting minutes.

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Comments

    • I cant help but think this covid zero policy is a political/industrial ploy. But then again, it must be really hurting their economy as well. Which outweighs the other, I really am not sure. Its a hell of a gamble if it is political though and I think Xi may have blown his bolt too early if that is the endgame.

      • I am sure there are multiple reasons…..they realise the world is at maximum resource extraction now and are adjusting……….they know the Yanks mean them harm and are keeping their heads down and preparing ( roll on roll off ships are arriving in Baltimore now and the Russians are putting laws through now for partial mobilisation of their economy )……..and they cannot afford living with Covid with their population density. ( no-one can of course, but wishful thinking and infinite credit are still in the drivers seat )

      • bolstroodMEMBER

        Perhaps the Chinese know something about Covid evolutions that we don’t.

  1. Today I got called out for spreading BS and then ghosted after replying to all their points
    Piss weak is all that comes to mind, but that’s old-fart Aussie lingo
    How would a GenZ’er say piss-weak?

    • They’d call you piss weak of course.

      This is straya, only a small minority of our kids act like Yankee hegemonic hand me downs. All you old fellas are too quick to tar them all with the same brush.

      What prevents people from over the top indulgence in “wokeism”? Poverty and having to fight to survive, no time for that stuff when you’re battling. Plenty of battlers still out there, I see em everyday.

      • really? weaksauce that’s pathetic
        Kinda like Insulting and apologizing in the same breath.

        • drsmithyMEMBER

          Well for the modern man cooking abilities are important, I guess, so making fun of a bloke’s condimentary skills is as emotionally crushing as making fun of his aging prostate ? 😀

  2. I saw Thor 4: More Thor today. Pretty fun movie with lots of GnR songs to fire you up.

    • I had a neighbour who used to go Big game hunting in Africa
      I always found it totally weird,
      The guy was a religious zealot, worked as a Pastor and honestly believed he was doing dogs work by dispatching Elephants
      I secretly wished an Elephant would dispatch him

    • C.M.BurnsMEMBER

      Most of those are pretty funny. But this is proper break-up-worthy: “Marcus sighs and yells when i drive”. Old mate Marcus (or Marcus-ette) would pretty quickly learn to wear comfortable walking shoes in the car if that became a habit, as they wouldn’t finish all that many drives in the car.

      • “He leaves wet towels on the bed” … now, m’dear! If the towels got wet they way I think they got wet, then the least you could do is to pick them up yourself and give them a wash before next time.

  3. Been buying an Alvey a week before they all disappear. Don’t need them and not even that big of an Alvey fan but the whole rising from the ashes to only fall over again got me in the feels and I’m now purchasing compulsively in some form of cargo cult fashion hoping to raise them up once again.

    • Fishing72MEMBER

      I live in a retirement town and the many garage sales are full of glorious bounty as far as older fishing gear in mint condition goes. Alveys in particular are basically timeless with a modicum of maintenance. Picked up a pair of old solid glass boat rods for $5 each a couple of weeks ago. Got a gut full of the old fella’s ridiculously embellished fishing tales in the bargain.

      Same applies for tools and general man stuff. Plenty of well kept old timey gear in general. If the world turns to crap this town has enough serviceable old powerless hand tools to build an ark.

      • I like the idea of holding an Alvey but I hate the reality.
        Every time I try spinning with an Alvey I end up with horrible wind-knots and tangles doesn’t matter how many swivels I use, doesn’t seem to matter how evenly I try to tension the line.
        I find Mono is bad enough but light braid is just a nightmare
        2 hours fishing equals 200m of tangled braid guaranteed

    • reusachtigeMEMBER

      I have a good fish monger that provides the best quality fish that only people of my stature can afford. I’ll spend the ridiculous hours of fishing time getting rich instead. That’s the difference between low achievers like yourself and winners like me.

      • I don’t fish, I collect curios and knick knacks that I sell at massively inflated prices at posh “farmers markets” in Eastern suburbs of capital cities to posh poseurs who are simply trying to look cool amongst their parasitic social groups.

        I’ll see you on Saturday, I’ll sell you an alvey for $6k ya goose.

    • Thanks for the reminder. I’m not much of a fisherperson but still get nostalgic using my dear old Dad’s Alvey. Going by where I think he was at the time it must be 60 odd years of sporadic but faithful service.
      This is good, lots of history including the 1893 flood with a quirky touch of building a house on the wrong site and a lathe that is (at the time of the article) still in use in the factory.

      edit https://australianfishingmuseum.com/alvey-2-2/

  4. Put your big boy pants on

    Le tour heads to the Roubaix cobbles

    Thanks Gracie 👀👀