Australian Dollar

By Chris Becker  The risk tone for the next month was set high and positive on Friday night as the latest US jobs report – the non-farm payrolls or NFP – beat expectations and previous prints were revised higher.

Today’s private PMI manufacturing print in China, combined with some stimulus talk in Japan and the usual “must cut rates” talk locally is seeing a small boost to Asian risk as we end the week, but not the trading session overall as more prudent traders wait for tonights US NFP.

By Chris Becker  Stock markets are taking a hit due to a triple whammy of events overnight, namely the impeachment inquiry vote in the US Congress, the stalled trade talks with China and the disappointing inflation data coming out of the PCE print.

Its the end of the month combined with the fallout from last night’s (early morning!) FOMC meeting and subsequent rate cut has been somewhat restricted to currency markets, but mainland Chinese stocks are pulling back in the wake of the disappointing PMI print, as the overall mood remains somewhat mixed.

By Chris Becker  Risk markets are still in a holding pattern awaiting the Federal REserve latest interest rate meeting, with the focus on German unemployment – spiking unexpectedly – and US GDP growth which disappointed looking through the headlines.

It’s all about the Fed as traders await the FOMC meeting tomorrow night with Asian stocks slipping alongside Wall Street overnight.

By Chris Becker  Quite a mixed night on overseas risk markets with European bourses slipping into the red while Wall Street is just holding on as tech stocks sell off slightly amid worse than expected corporate results.

Despite a very positive lead from Wall Street overnight, Asian equities fell back in the main, with Aussie stocks treading water for the second day in a row.

By Chris Becker  US stocks have surged to record highs on the hopes that trade talks will bear fruit soon with an official extension to Brexit stabilizing European markets.

A solid start to the week here in Asia, outside Australian stocks, with risk markets pushing higher from Friday night’s solid session on Wall Street and more weighing up on Brexit.

Via Banking Day: Australian banks “face greater pressure to their profits” a Treasury briefing for their minister, Josh Frydenberg, explains.

Stocks are flatlining alongside currency markets across the region  – if you look outside local risk markets – as the Brexit and US induced earnings swings from overnight dissipate into nearly nothing in terms of risk taking.

By Chris Becker  Tech stocks lead the way on Wall Street overnight as solid earnings overshadowed the ECB rate meeting which ended up a fizz with no substantive change.

DXY was up again last night as EUR sagged: The Australian dollar sank against DMs: And EMs: Gold was strong: And oil: Plus metals: But not miners: Em stocks are trying: As junk celebrates: Treasuries were bid: And bunds: Plus Aussie debt: Stocks ground upwards: It was PMI night and it told the tale.

Stocks are advancing across the region here in Asia although mainland Chinese stocks are struggling to make ground, as positive sentiment from US earnings overnight (notably Tesla and Microsoft) and a lower USD keeps risk spirits going.

By Chris Becker  European stock markets led the charge overnight as Wall Street was relatively flat, despite a big lift in oil prices as US inventory data surprised to the downside.

DXY was up again last night: The Australian dollar pulled back against DMs: And EMs: Gold was stable: Oil up: Metals too: And most miners: EM stocks are still poised: Junk was softer: Treasuries bid: And bunds: Aussie bonds most of all: Stock were flat: Westpac has the wrap: Event Wrap US Pres.

Chinese bourses are dragging down the risk sentiment into a defensive mode given the late poor lead on Wall Street overnight, as the Brexit drama rolls on again.