Australian Dollar

Via Bloomberg: The worst is yet to come for the poorest performing Group-of-10 currency, Morgan Stanley says.

DXY resumed its march higher last night as EUR was sold heavily: The AUD’s whacko post-weak wages and jobs jump flamed out: But it can’t keep pace with EM downside: Gold looks very vulnerable: Oil to the moon!

Asia markets have not been able to translate the firm gains on US markets overnight to the region, as the weaker Yen was able to only lift Japanese bourses.

By Chris Becker A much better night on risk markets in response to some secondary reports in the US regarding industrial production with housing starts overperforming and oil inventories shooting to the underside, lifting oil prices and hence energy stocks.

Yet another mixed day here in Asia as tensions rise once again on the Korean peninsula and the impact of higher US interest rates from the spike in Treasury yields is felt across risk markets.

By Chris Becker A double whammy of economic releases overnight saw another retreat in risk markets as the USD soared against the majors, while gold went to a new four month low.

Quite a mixed day here in Asia given the lack of volatility in overnight markets with the only bright light being mainland Chinese shares on the back of solid April data.

Via Bloomie: “The U.S.

By Chris Becker A night to forget on overseas markets with both US and European stocks putting in scratch sessions across the board.

From the fantastic Viktor Shvets of Macquarie: US$ and its discontents: Liquidity, CA deficits, deflation & EMs Are we seeing the beginnings of a much stronger US$?

Risk markets lifted all across Asia, starting the week on a strong point.

The FT has the story: Italy’s leading populist parties are within striking distance of forming a government in the eurozone’s third-largest economy after reaching tentative agreement on a common platform — but not on a choice of prime minister.

By Chris Becker  Only a week after an impressive NFP and stock markets continue to roar upward in response, with a mid-week shake out for the USD on the back of a weaker CPI print the only fly in the ointment.

Outside mainland China its been a solid day again here in Asia, with stock markets finishing their best week since February.

By Chris Becker The poor CPI showing in the US saw the USD stumble from its recent rally, but sent stocks to a near two month high.

DXY was hosed last night: An oversold AUD launched: Though couldn’t keep pace with EMs: Gold firmed: Oil flamed out: Base metals were mixed: Big miners to the moon!

Ambrose Evans-Pritchard has the bit between his teeth: Donald Trump could hardly have chosen a more treacherous economic moment to tear up the “decaying and rotten deal” with Iran.

Another solid day for risk markets here in Asia, taking the US lead overnight.

By Chris Becker Oil was the catalyst overnight with industrial stocks lifting alongside as a DOE report indicated much lower inventory levels than expected.

DXY was up again last night but well off the highs.