Groundhog day yet everyone? The ASX200 gapped over 8% lower on the open while other Asian indices oscillated wildly as the uncoordinated fiscal and monetary response to the coronavirus pandemic over the weekend has caused risk markets to have yet another epic day of volatility. Funnily enough the only sanity out there is currencies, with
By Chris Becker Not a good time to try to time your way around these markets with Wall Street slumping again out of the blue on Friday night. Despite the record and widespread adoption of both fiscal and monetary stimulus packages around the world, equity markets are still pricing in severe recessions for the rest
Finally, some steady gains across the region, following the lead from overnight stock markets. The USD reversed course as a series of events including a big jump in projected US unemployment and proposed lockdowns in California. The RBA started their QE program today while the PBOC continues to weaken the Yuan, although offshore trading slumped
By Chris Becker Some calm returned to risk markets overnight, but its all relative, with oil shooting 20% higher on shutdown rumors from an already overly depressed level. Stocks did well in Europe and stumbled a little higher on Wall Street while in currency world, its still all about the King, as gold slumped to
Another sea of red across Asian stock markets today as the crash continues, with local stocks leading the way despite a big cut to interest rates locally by the RBA and a near twenty year low for the Australian dollar. Japanese stocks are off as well despite the BOJ stepping in and buying up big,
By Chris Becker Insert fear/panic quote here. The only thing you can predict about markets at the moment is that they’re unpredictable with yet another night of big falls on Wall Street, as the risk complex teeters once more. Today in Asia is going to be hectic plus the added bonus of seeing what the
Another day of stupidity on local stocks, with the ASX200 selling off because ScoMo had some choice words for the unwashed hoarders, while other stock markets lifted across the region. Nevertheless, US futures are down going into the European open with the USD retreating against the majors, except gold which is looking wobbly after several
By Chris Becker It’s all about the stimulus with stock markets lifting overnight in the wake of combined fiscal packages from various governments to offset the economic cost of the coronavirus impact. Wall Street lifted the strongest, up nearly 6% across the board but commodities continued lower, dragging the Aussie dollar with them to a
Another volatile day on Asian stock markets, this time to the upside for most outside China, as a modicum of stability returns to risk markets following the epic falls on Wall Street overnight. A battle over the direction of gold saw it eventually fall back below the $1500USD per ounce level late in the trade
By Chris Becker Panic and fear are ruling markets, with stock markets likely to see restrictions in trading soon if this epic volatility continues. Wall Street suffered its worst falls since Black Monday 1987, with the Dow off nearly 13% in a single session. What makes this unique (the panic selling is perfectly normal human
Here we go again. Local stocks lead the reaction to the Fed’s cut to zero and new round of QE, with all other central banks now acting in kind with the BOJ today accelerating its bond buying program and the RBA finally admitting it needs to do the same. The ASX200 suffered its worst one
By Chris Becker Friday night saw volatility violently veer the other way with big surges on stocks and selloffs in safe havens like gold, Treasuries and Yen. Oh and Bitcoin which crashed down to $4000 before rebounding 50% (not a typo) to almost $6000! Stimulus was the reason as central banks decided to let the
It’s still ugly out there with Asian equities falling sharply but not as fast as Wall Street overnight, but all stock indices are now in bear market territory for the year. Currencies are mixed with a small bounce in undollars, with the Aussie lifting off the floor but only just, while gold falling another $15
By Chris Becker Panic has set in on risk markets around the world with shares suffering their worst one day loss since 1987 as Wall Street plummets 10% in a single session. Everything was sold off as money managers literally just wanted money in their accounts and nothing else. The scheduled ECB meeting resulted in
It’s getting ugly out there with the ASX200 having its worst day since 2008, falling nearly 8%, while other Asian equities are off by about half that as Trump enacts a European travel ban. Currencies are mixed with the Aussie, Kiwi and Loonie falling sharply alongside commodities while Yen is being bid strongly for a
By Chris Becker Fear is back as another packed night of volatility where the WHO declared the coronavirus a pandemic, Wall Street lost its shi(r)t, while bond markets went haywire and actually sold off with a big jump in still-depressed yields. The 10 year US Treasury yield went from 0.65% to 0.85% while currency markets
Well that was a short lived bounce, as risk assets fall across the region despite more fiscal and monetary stimulus nods and suggestions overnight. US cases of coronavirus have now spiked over 1000, although good news in South Korea and elsewhere about declines in new cases will be overshadowed as the Americans start to panic.
By Chris Becker Fears are fettered with fiscal fiddling overnight with the rebound in Asia extending into the US session, although European bourses remain extremely nervous and put in scratch sessions. The USD bounced back as well with safe haven selling the order of the day, given some respite to risk assets with bond yields
Well here comes the bounce, with risk assets suddenly coming back to life as happens in major retracements when there’s no one left to sell too. Oil is up nearly 10%, Yen has dropped 2% while stocks are up 2-3% across the region. Perfectly normal behaviour in the middle of a major correction – probably
By Chris Becker Everything is fine. So where to start? US stocks had their second biggest one day falls overnight, with panic selling seeing the three main bourses lose nearly 8% in a single session, alongside European markets which suffered a similar fate. The USD continues to tank against nearly everything with Euro soaring again,
Well hasn’t this been an interesting day? Oil prices drop 20% on the open this morning, taking equity markets with them as S&P futures are closed as the go limit down -5%! The local market had a shocker, closing more than 7% lower while a flash crash in currencies in the middle of the mayhem
By Chris Becker Markets almost brushed aside the strong US jobs print on Friday night and continued to hasten their retreat from risk taking with European bourses falling to a new yearly low, while Wall Street stumbled into the close with a near 2% loss. Fear continues to reign as bond yields plummeted to new
Well here with go again with more selling as the dead cat rolls over on Wall Street, knocking out the line of dead cat’s here in Asia (or is it just a flesh wound?) with stocks sold off across the board. Only the usual suspects like gold, yen and bonds are having any green on
By Chris Becker Markets are being spooked again by the coronavirus with US stocks pushed sharply lower over a spike in US cases overnight, sending the USD and bond yields down with them. The 10 year US Treasury yield is now well below the 1% level to 0.9% – a record low – alongside the
Much more optimism in Asia today as risk followed Wall Street’s big lift overnight with strong bids across all the major bourses. Gold remains stuck at last night’s high while the USD is still weak against most of the majors, although it seems the panic buying of Aussie isn’t being sustained as much as the
By Chris Becker The Fed surprise has turned into a Super Tuesday surprise with the promise of a moderate Democrat in the form of VP Joe Biden boosting Wall Street’s hopes that no stinking socialist will grace the White House anytime soon. Stocks soared, surpassing the 4% level with the Dow up 1000 points again,
The bounce stumbled overnight but has continued here in Asia as the news of the Federal Reserve’s surprise rate cut in the wake of the economic impact of the coronavirus has been absorbed without the fear on Wall Street. Further, a lead by VP Joe Biden in Super Tuesday has also assailed the Streets fear
By Chris Becker The Fed has surprised and spooked markets by announcing an out of cycle rate cut, sending confidence down alongside bond yields, the USD and Wall Street. Nerves are frayed with US stocks closing nearly 3% lower and sending Asian futures down with them. Gold stacked on big gains however, rallying over $50USD
The bounce continues although its only a half inflated ball, with Japanese shares lagging and US futures slipping going into tonight’s session. This has all the hallmarks of a dead cat bounce and it must remembered that previous serious market corrections had big swings that were mistaken for recoveries. Gold is still struggling under $1600USD
By Chris Becker Bouncy bounce bounce! Wall Street surges over 5% higher overnight as Asian stocks took the lead yesterday to push risk markets higher after a week or so of carnage. This is partly in response to a coordinated effort by central banks to start easing aggressively to counter the economic slowdown from the
