Australian Dollar

President Biden’s new big infrastructure plan didn’t shake up markets as expected with Wall Street absorbing the proposed tax increases while the USD finally gave up some ground against the major currencies after being super strong all week.

The Australian dollar was weak overnight despite a powerful relief rally for anything and everything that has been recently squashed by rising US yields and greenback.

Asian share markets are pulling back despite very solid manufacturing PMI prints in China and the end of fiscal year window dressing in Japan.

The two arguments that support Bitcoin as some kind of worthwhile asset for the future are worth revisiting again today.

It was a case of repeated expectations overnight on share markets at least, with the mixed Asian lead not upsetting the continued rise in European markets while Wall Street stumbled yet again in the wake of new tax increases for Biden’s new big infrastructure plan.

The Australian dollar was crushed by a runaway greenback steamroller last night as US economic data begins to bubble.

Asian share markets are again quite mixed with Japanese stocks this time not moving while local shares pull back inline with the Brisbane (and greater QLD?) lockdowns, while Chinese shares surge.

Last night saw a pause in rising risk sentiment due to an absence of economic or other catalysts, although the freeing of the Ever Given ship in the Suez Canal should bode well for global trade.

The Australian dollar is clinging grimly to the clifftop as last night the DXY rallied on and EUR fell: The Australian dollar has backed away from the neckline of its monstrous head-and-shoulders top: Yields kept piling higher: Stocks are going exactly as expected with Nasdaq still deflating while value trades hold up wider bourses.

Asian share markets have started the trading week in mixed fashion with today’s session seeing most markets pulling back and only Japanese stocks advancing.

Ain’t this the truth from Nordea: The past week has seen the S&P500 future, Nasdaq and Brent oil prices primarily ranging sideways amidst choppy price-action.

Friday night saw risk sentiment firm once again going into the end quarter/month as the hastened pace of the vaccine rollout in the US embiggened economic efforts as the Fed gave US banks the go ahead to increase dividends.

Friday night saw a weaker DXY which helped drive a pop in the Australian dollar and risk assets generally: Brent jumped out of its swoon.

Risk sentiment came back overnight with both European and Wall Street bouncing back as volatility on bond markets pulled back slightly and the USD continued to lift on the back of strong initial jobless claims overnight.

Capitulation by Australian dollar analysts that is.

Asian share markets are extremely mixed in today’s session with Japanese stocks rebounding while Chinese shares remain nearly unchanged in response to last night’s selloff in tech stocks on Wall Street.

Tech stocks fell sharply again on Wall Street as volatility around currency and bond markets was abated somewhat, despite the release of solid flash PMIs and a poor durable goods order print blamed mainly on the weather.

Asian share markets continue to fall across the region, save locally with the poor lead from Wall Street and rising concerns over COVID in Europe with Chinese shares leading the way again.

More lockdowns across Europe and less risk taking saw Wall Street fall overnight with tech stocks leading the way again as the USD firmed against everything with Pound Sterling and Euro making new weekly lows although Yen remained firm.

For many years, far more than I would ever have thought possible when the MB journey began, we have campaigned for a simple change in philosophy among Australian policymakers.

Asian share markets have ignored the good lead from Wall Street overnight and have continued their very mixed start to the trading week with Chinese equities selling off fast in the wake of the US/Allied sanctions, while Japanese and local markets tread water.

The USD retreated overnight slightly, helping risk currencies like the Australian dollar as the bond market settled with 10 year Treasury yields pulling back to the 1.70% level.