Australian Dollar

Finally, some steady gains across the region, following the lead from overnight stock markets.

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.

DXY is not finished: The Australian dollar came off its crisis lows but was still smashed over 24 hours: Against EM it was mixed: Gold has further to fall but it is buy the dips now.

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.

From the RBA just now: The coronavirus is first and foremost a public health issue, but it is also having a very major impact on the economy and the financial system.

Headed to zero today it seems: Very nearly 54s with low at 55.11.

Where it stops nobody knows: Related, the bond bash runs on as foreign funds liquidate and pull the cash: XJO is folding under the pressure: No end to the rout.

By Chris Becker  Insert fear/panic quote here.

DXY is an untouchable rocket ship.

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.

The Australian dollar is still trading below 60 cents: Bonds are bid after the opening yield spike: XJO is off a breezy 4%: As Big Iron sells: Big Oil has been annihilated: Big Gold is hanging in.

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.

Via the excellent Damien Boey at Credit Suisse: With the AUD/USD down at 61c, we thought it instructive to see how it lines up with macro fundamentals.

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.

Cross-posted from FTAlphaville: Few things are as likely to imbue us with that sense of global financial crisis déjà-vu than a dollar swap line.

By Chris Becker  Panic and fear are ruling markets, with stock markets likely to see restrictions in trading soon if this epic volatility continues.

Here we go again.

Via FTAlphaville: There’s growing evidence that markets think central banks have reached the limits of their capabilities.

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!

DXY took off Friday night and is suddently in the frame for its traditional safe haven melt-up: The Australian dollar was trashed to GFC lows: Gold has begun liquidating.

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.

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.