DXY is approaching resistance. If we get through, it will go nuts:
AUD is pushing towards critical support:
North Asia is a pair of concrete boots:
Oil is consolidating while we await Netanyahu’s next act. Gold held:
Miners still need the big retest:
EM puke:
Junk puke:
Yields up:
Stocks hanging on for grim death:
Mr Powell upset everybody:
If price pressures persist, he said, the Fed can keep rates steady for “as long as needed.”
“The recent data have clearly not given us greater confidence and instead indicate that is likely to take longer than expected to achieve that confidence,” Powell said Tuesday in a panel discussion alongside Bank of Canada Governor Tiff Macklem at the Wilson Center in Washington.
“Given the strength of the labor market and progress on inflation so far, it is appropriate to allow restrictive policy further time to work and let the data and the evolving outlook guide us,” he said.
My own view is that US inflation is not as bad as it looks owing to the lagging OER.
However, the Fed needs to dent the runaway stock market to prevent a further rebound in price pressures, most notably in oil and other commodities.
It is all conducive to further AUD weakness, despite the record market short.
