Australian Shares

By Chris Becker Hesitation and uncertainty are the names of the game in risk markets right now, following the recent rout.

by Chris Weston It is bizarre that S&P 500 and commodity futures should open 1% lower based on the idea that the Chinese Stability Fund will no longer be active in the market.

By Chris Becker It was a muted end to a frenetic week on world markets on Friday night with more scuttlebutt of the Fed returning to its rate hike agenda due to rising inflation and indeed the solid personal consumption expenditure (PCE) print for July is giving the hawks ammunition to do so.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets The Asian session took news from US equities and commodity markets well today, although the pace of the gains look to have slowed later in the session.

By Chris Becker The relief rally has turned into unrestrained exuberance as 2Q US GDP surged to almost 4% year on year growth with weekly initial jobless claims coming in slightly weaker, combined with unfettered Chinese government buying of stocks has lifted all boats – sans bonds – across risk markets.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets Strong durable goods numbers out of the US and tempting valuations saw a phenomenal bounce in all US equities.

By Chris Becker An excellent durable goods order print in the US, coupled with steady if not exciting market action in Europe and Asia was then electrified by NY Fed President Dudleys comments on “normalisation of rates” will be extended to later this year.

A number of readers have asked me at various times whether now, or now, or now, is the time to buy beaten down mining and LNG stocks.

Via The Australian: Credit Suisse strategists stick to their bullish view on Aussie equities due to their solid free cash flow growth and an accommodative cost of debt.

By Chris Becker The normal dynamics of bear market activity are now playing out.

China cut interest rates and reserve ratio requirements late yesterday and markets have rebounded handsomely.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets Asia bounces back after “Black Monday” Asian stocks obtained some respite after yesterday’s brutal sell off.

From The Australian: Buying Australia’s high yielding stocks is a “no brainer”, according to ANZ chief Mike Smith.

From The Australian: The Prime Minister said his briefings from Treasurer Joe Hockey and Reserve Bank governor Glenn Stevens indicated it was “not unusual to see bubbles burst” with flow-on effects for global markets but stressed “the fundamentals are sound”.

by Chris Becker The only thing holding up the rotten corpse that is the Australian stock market is the financials sector, which in and of itself is a bunch of zombies, supported by the RBA keeping rates lower for longer and the federal government balance sheet.

by Chris Becker The ASX200 has bounced back this morning, after gapping down more than 1% on the open its now up over 0.6% for a quite a wide daily range, which is normal in this type of action.

by Chris Becker You’d think someone who has commented on markets for their entire career would be able to recognise a bear market when they see one.

By Chris Becker When you see -4%, -5% on your quote screen for just about everything, you know you’re in for a rough night! Asia’s terrible start to the week spread to Europe and the US last night with huge volatility and epic falls in stocks, commodities, currencies and bonds (except Treasuries).

Take your pick.

Angus Nicholson for Chris Weston, Chief Market Strategist at IG Markets It has been a day of record declines in Asia.

Cross-posted from The Conversation: As another corporate reporting season in Australia draws to a close, the broad trend has been moderately underwhelming earnings results, combined with a rise in the earnings repaid to shareholders in the form of a dividend.

Weoo, weeoo, weeoo.

by Chris Becker What a week that was!