Australian dollar smashed again

DXY stalled:

AUD was smashed on the crosses:

CNY keeps falling. This is a long-term adjustment for mine as China is ex-growth:

Needless to say, this is bad for commodities:

And miners:

Plus EM stocks:

I’m not sure what triggered junk:

Treasury yields eased:

AI inflated and everything else didn’t:

It remains my view that DXY is back and has further to run. I am especially reassured that nobody else thinks so. The market is hilariously long EUR:

As its economy stalls versus the US:

And heads for recession:

Everything points away from Europe and towards the US:

• X-date resolution
• AI bubble
• weak China
• ECB behind the curve
• stalling economy
• Ukraine War.

Falling EUR and CNY is very negative for AUD.