Australian Shares

60

Macro Afternoon

A somewhat mixed end to the week here in Asia with most stock markets rising the wave of confidence that has set in on Wall Street earlier. Despite advancing local currencies due to a reversion in USD sentiment, plus falling oil prices, stocks look set to build from here – if tonight’s US unemployment print

1

Macro Morning

By Chris Becker Reports of a potential Brexit deal, plus solid earnings by Apple overnight saw the risk sentiment shift higher, with the USD the main casualty. All the major currencies surged against King Dollar, particularly Aussie, while oil prices fell by nearly 2% on rising supply pressures. It looks like another risk positive day

56

Macro Afternoon

Outside Japan it’s been a positive session on Asian stock markets today with domestic earnings troubles and a slightly stronger Yen the headwinds. The rest of the region is continuing the overnight bounce from Wall Street as traders struggle to build their confidence after an awful (if you’re long only) October. The Shanghai Composite was moving higher

9

Is the stock market panic over?

Some nice charts from Damien Bey as Credit Suisse give us context: Credit Suisse’s proprietary measure of risk appetite very briefly entered panic in mid-August 2018. It has since staged a modest recovery to less negative levels. 2. Past cycles show that after risk appetite enters panic, small caps tend to outperform in the following

0

Macro Morning

By Chris Becker Overnight saw a continuation of the equity bounce with US shares up nearly 2% while the USD firmed against all the majors and Treasury yields remained at their lofty highs. EZ CPI came in bang on target, but that didn’t help the Euro which flopped to a new weekly low, while the

33

Macro Afternoon

The bounce is here in full with a sea of green across Asian stock markets today, navigating through a steady BOJ interest rate meeting and a somewhat disappointing Chinese manufacturing PMI print. Australian inflation figures – out of date given it’s quarterly – didn’t move the Aussie dollar that much either. The Shanghai Composite is moving higher,

0

Macro Morning

By Chris Becker Overnight saw a big bounce on Wall Street late in the session, as commodity prices retreating on continued US-Chinese trade talks. The equity correction is not yet over but there are signs of selling exhaustion taking place on both sides of the Atlantic, with futures indicating a similar bounce here in Asia

63

Macro Afternoon

Here comes President Trump to save the day – so goes the refrain, even though the blame for this correction lays squarely in his ample lap. The idea of a better “deal” with China is giving stocks a boost across the region, with the Yuan now into a ten year low against the USD as

0

Macro Morning

By Chris Becker Another volatile night on markets with European stocks leading a bounceback that then faltered before crashing on Wall Street with a very late “Hail Mary” recovery in the last hour of trading. Currency markets were not as crazy but the USD is reasserting itself against all the majors, a small bounce on

74

Macro Afternoon

Quite a mixed start to the week here in Asia with mainland Chinese stocks falling swiftly, while the rest of the region is putting on minor gains, the ASX200 the standout, as some confidence returns. The USD is retreating slightly against the majors, with the Aussie dollar spiking, following on from its Friday night reversal.

0

Macro Morning (Trading Week)

By Chris Becker  It’s not been a good week if you’re a long only holder of stocks, with rising volatility spilling over into some frenetic selling on Wall Street and other interconnected markets. Friday night saw another bad finish to the week with US stocks now at a six month low, tech stocks leading the

65

Macro Afternoon

It’s not been the bounceback that we expected here in Asia with mixed results on stock markets across the region. The yuan dropped to a 10 year low, almost hitting the 7 handle versus the USD, while the Aussie dollar dropped to a two year low as the USD flexes its muscles. The Shanghai Composite is

3

King hit ASX can’t get up

AUD is just hanging around this morning: Bonds are soft: XJO is king hit and knocked out cold. Soft US futures aren’t helping: Big Iron is bouncing modestly: Big Gas too ex-ORG: Big Gold is sagging: The Big Banks can barely raise an eyebrow: Big Realty is stuffed: Big Tech trying and failing. RMD released

17

US tech is no bubble

I am bemused by those endlessly calling US tech a bubble. It’s not. Goldman shows us why today: This is secular growth story as lowflation drives ever more technology productivity spending: Multiples are almost fantastically cheap for the growth: There are some dimensions of bubblyness in frontier firms and the new age FAANGS – such

1

Macro Morning

By Chris Becker Another bounceback overnight but will it stick as stock markets remain in shock with too may series of volatile sessions starting to exhaust traders (me included). Tech stocks led the way with the NASDAQ lifting nearly 3%, while Treasury yields spiked again while currencies were relatively calm as the ECB stayed the

41

Macro Afternoon

It’s been a tough day for the long only crowd in Asian shares across the region, with falls of a similar magnitude to those of Wall Street overnight. Volatility in FX markets has been sanguine however, with the Aussie  bouncing slightly while the Kiwi deflates in the wake of the equity selloff, although this lack of

34

ASX bath of blood

AUD is still copping it this morning but refusing to break to new lows: Bonds are bid: As XJO dips into a bath of blood: Big Iron is hammered: Big Gas a bit less: Big Gold is mixed but solid in the circumstances: Big Banks are clinging to previous lows: Big Realty is free falling

4

Macro Morning

By Chris Becker The equity correction ramped up significantly overnight with big outsize falls on Wall Street, the NASDAQ off by more than 4% (although Tesla did well on its profitable quarter) while the broader S&P500 lost over 3%. This does not bode well for Asian stocks today with runs to safe havens like Yen

84

Macro Afternoon

Stock markets continue their topsy turvy ride with a bounceback here in Asia following a very nervous night on Wall Street. Chinese stocks are leading the charge while a lower Yen is helping Japanese bourses, the USD is also weakening against the Aussie and the Kiwi. The Shanghai Composite did well at the start of the

1

Shaky ASX falls again

AUD has little bid today: Bonds are bid as well: ASX is falling again, worse as the day rolls on: Bullet-proof bulks keep on: Not Big Iron though: Big Gas is aflame. More ahead as oil suddenly appears plentiful and political risk skyrockets at home: Big Gold is up. This is not inconsistent with the

1

Macro Morning

By Chris Becker The equity correction continued overnight with steep falls on Wall Street that were barely covered by the end of the session, with oil prices cratering in the wake of the Saudi’s murderous own-goal. This finally caused a rush to safety in Treasuries, with the 10 year yield falling to 3.11% and the