Australian Shares

A very mixed day here in Asia with most stock markets in retreat mode after what was a stellar start to the Trading Week.

By Chris Becker  The dead cat is now in hover mode as Wall Street was unable to translate epic gains in Asia then Europe into anything substantial, with the NASDAQ actually retreating slightly despite the substantial stimulus packaged passed by Congress.

A sea of green across Asian stock markets today following the surge on Wall Street last night as markets mistake the absence of selling as the absence of a bear market.

By Chris Becker  The dead cat twitched on its terminal bounce and markets are now mistaking it for signs of life as Congress finally agrees on a significant fiscal spending bill.

Everything is awesome as the whole of Asia buys buys buys!

Via The Australian: Global fund manager Magellan says its defensive equity strategy saying is well positioned to ride out the financial storm caused by the coronavirus pandemic.

It’s an equal mix of delight and boredom that greets the daily feed of fund manager calls that the market has bottomed.

By Chris Becker  Last night saw the Federal Reserve take the QE infinity sword out of the sheath, but it was like limp lettuce to risk markets with only a slight fall in USD as bond yields continued to fall to record lows.

Groundhog day yet everyone?

Via Goldman: Conditions for reducing deep tail risks now.

All those long only equities managers calling buy the dip are being minced again today.

By Chris Becker  Not a good time to try to time your way around these markets with Wall Street slumping again out of the blue on Friday night.

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

Via CNBC: Meanwhile, ASX soars 4% at the open: Buy the dip!

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.

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.

Pulled down then shredded. Via BofAML: • Investor sentiment has collapsed on the back of the coronavirus, oil shock, recession, and surging debt default risk. • March FMS sends BofA Bull & Bear Indicator (flagship sentiment index) from 2.5 to 1.7, triggering first contrarian “buy signal” for risk assets since Aug’19 (link).

By Chris Becker  Insert fear/panic quote here.

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.