Australian Shares

Via the excellent Damien Boey at Credit Suisse: The Australian government has pledged an additional $130 billion over the next 6 months in wage subsidies.

By Chris Becker  Overnight risk markets took the stimulus ball and ran with it, ignoring the growing COVID-19 virus caseload and deaths, particularly in the heart of the global economic machine, the USA.

Outside local stocks its been another rough start to the trading week throughout Asia for risk markets, but US futures are pushing higher as the risk complex again reweights the growing pile of virus victims versus the verisimilitude of a v-shaped recovery!

By Chris Becker  It’s crunch time for stock markets around the world this week as its plain to see that the combined efforts of central banks and fiscal stimulus has had almost no impact on the reality that is a major recession forthcoming in 2020.

Outside local stocks its been a solid session throughout Asia for risk markets, but US futures are pulling back as all eyes are on the US Congress passing the stimulus bill.

By Chris Becker  Stimulus packages are pumping air into the carcass that is the dead cat like a bagpipe, with Wall Street rallying on hopes that the cheques from Congress will save the next quarterly earnings bell.

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.