Australian Shares

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets Fed Chair Janet Yellen’s comments overnight confirmed the significantly dovish turn seen in the last Fed statement.

The USD and two- and five-year bond yields are key assets to focus on this week, while strong focus should also be placed on the Chinese yuan.

The selloff on the ASX200 continues apace after lunch, with the miners not leading the charge for once.

by Chris Becker Australian traders are back at their desks this morning after a very long weekend that was characterised by other markets mostly remaining open, but not doing much in the main.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets The oil price and equity markets are teetering on the verge of a much larger pullback as hawkish Fed officials have lifted the US dollar this week.

by Chris Becker It was all about USD overnight which is firming against its majors sending commodities, especially oil down and hence stocks as risk markets continue to move in lockstep.

Australian banks have dragged on the ASX 200 and the note from Goldman Sachs regarding ‘funding dilemmas’ is not helping the space.

Big iron ore leading share lower today as BHP is down -1.4%, RIO -0.2%, FMG -1.5% as Dalian is down five points: Big gas is selling too with WPL -0.5%, OSH -1.3%.

by Chris Becker Market reaction to terrorist events – in Europe at least, since we don’t cover similar or worse events in other parts of the world – have slowly devolved into numbness.

Chris Weston, Chief Market Strategist at IG Markets There is an uneasy calm that descended on the world’s financial markets.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets Chinese markets surged today after the government announced they were loosening requirements on margin financing, with the Shanghai Composite breaking above 3000 for the first time since 19 January.

It’s risk off day with Aussie well below 76 cents, Brent hit and Dalian easing.

by Chris Becker The quarter is almost over but finally, most stock markets are back to where they started the year as this bear market rally moves into the next phase.

Chris Weston, Chief Market Strategist at IG Markets To any conspiracy theorists it’s all become quite clear.

The big iron party rolls on with BHP up 4.2%, RIO 2.7% and FMG 2.3%: All are still short of previous bear market rally highs though in up trends.

by Chris Becker The USD is in near freefall post the FOMC decision which is lifting emerging markets, which is lifting commodities, especially oil, which is lifting the main sharemarkets in a “one size fits all” rising tide of risk appetite.

Chris Weston, Chief Market Strategist at IG Markets It’s never a dull day in the financial markets and we haven’t even reached the point where Donald Trump is officially honing in on the White House.

by Chris Becker A central bank finally moved markets up by admitting the fight against deflation – the one thing markets hate – is far from won!

The Fed meeting this evening has loomed large over Asian markets today.

Because the McGrath share price is in free fall: Now down -42% from the float.

Slowly but surely the big iron ore bounce is sagging with BHP down -2.3%, RIO -1.1% and FMG -1.4%: Dalian is trading up five points from overnight but is still pricing around $51 so spot could still fall again tonight.

by Chris Becker Markets are starting to eschew the stimulus puts that have characterised the epic rises in stocks since the GFC as the Bank of Japan continued its own stimulus measures following the ECB last week.