Australian Shares

The big selloff on Wall Street has been more or less replicated here in Asia, although with less downside, as S&P futures race back in late trade to try to cover the falls overnight.

Brian Johnson at Jefferies has not minced words: On 20 July, we published Peking Duck and Beijing Beef detailing the rising frictions between Australia and China and some ASX200 implications emanating therefrom.

Some more optimism returns to Asian share markets with the strong lead from the lone European bourses overnight, with S&P futures indicating a solid open on the return of US traders from their long weekend.

By Chris Becker  Even though Wall Street was closed for the Labor Day weekend, last night saw some volatility on equity markets with big gains across Europe, despite some disappointing economic prints including industrial production and consumer sentiment.

Asian share markets were largely down across the region, although Australian stocks have rallied against expectations, with this sentiment shift also changing as European bourses open.

One has to be careful to sift what comes out of ZeroHedge.

By Chris Becker  A big rise in US employment figures and a subsequent drop in the headline unemployment rate was not enough for stock markets to get through their “wibble” moments, with the NASDAQ leading the way with another fall, and European bourses in lockstep.

Asian share markets have fallen across the region, but not at the same levels as Wall Street overnight, although the ASX200 is having a go at it.

AUD is taking some hits this morning: Bonds are calm: XJO gapped lower 2.5%.

By Chris Becker  Stock markets had a “wibble” moment overnight with the NASDAQ dropping 5% as the major bubble, I mean tech stocks dragged everything back, but nowhere near to reality yet.

Share markets continue to lift across Asia in response to the broad risk on moves overnight with the USD firming against the major currencies, plus Yuan despite a lower fix today by the PBOC.

By Chris Becker  A big lift in risk sentiment across the board overnight with many equity markets breaking out to new bullish patterns on the back of comments that central bank stimulus will continue for quite sometime yet.

Share markets are lifting across most of Asia, although Chinese bourses are flagging, as Wall Street helped increase risk taking and optimism.

Via UBS: More beats than misses and guidance was also better than expected Reporting season is now over.

The spectacle of automated trading systems bidding technology into a bubble is surely something directly from the script of the forthcoming Terminator 7 sequel.

By Chris Becker  Wall Street cannot be stopped and was helped along by a very solid ISM manufacturing print, particularly new orders as the Fed stimulus continues to pump up the economy as the presidential election looms.

Share markets are steady across most of Asia, with most putting in scratch sessions or minor losses (except the ASX200) in line with a hesitant overnight risk complex – sans the crazy NASDAQ!

By Chris Becker  The NASDAQ was the only stock market that lifted overnight and that was due to nefarious share splits as speculators rushed in, pushing the edifice higher while everyone else looked around and nervously swallowed.

by Chris Becker Outside the ASX200, share markets are rising across Asia with S&P futures looking to put on even more record highs tonight as the USD weakens against everything.

Via BofA: The decline in UI is affecting discretionary spending: Looking at the data by sector, the UI recipients cut back the most on clothing and home improvement spending and the least on gas and restaurants/bars (Chart 1).

By Chris Becker  The divergence between reality and Wall Street grows ever stronger with equity markets outside Manhattan continuing their sideways or lower moves as valuations get stretched.

by Chris Becker Outside the ASX200, share markets are rising across Asia with S&P futures spiking on the back of the Trump nomination speech at the White House where he lied about well, almost everything, but markets hung on to the anti-Chinese comments for some reason.