Gold

7

Iron ore sinks as Chinese yields rip

Chinese yields are putting on an extraordinary display. Interbank markets remain tight for SHIBOR and repo: But what’s really going nuts is bond yields: You will have noted, I’m sure, that such bond bear markets have preceded all three major Chinese slowdowns in 2009, 2012 and 2015. The further this runs the more likely it is

7

Banks: Adieu cash machines, hello public utilities

Dalian is still bid a little today: So is Big Iron ever hopeful: WHC breaking as coking coal spot fell another 3%… Big Gas is sideways: Big Gold bouncing: Big Debt is getting hit again and now doing chart damage: MQG downgraded the sector today. What’s to buy? Highly leveraged utilities exposed to a massive

30

Bear’s lick lips at ASX discounts nuthin’

Iron ore and coking coal futures have held Friday’s gains so far: Which has BHP and RIO  up a little, though FMG and WHC are down: Given RIO has barely corrected since the crash began, let us ask, what is the difference between it and FMG? Given FMG’s great deleveraging, and RIO’s reliance upon iron

9

Fortescue stumbles to the brink

Dalian iron ore has held its overnight losses so far today: As has coking coal: Big Iron is mixed with BHP and RIO acting like they don’t care but FMG is off another -2%: Indeed, FMG is fast closing in the neckline of its lovely head and shoulders top formation in the mid-$5.70s: If that

2

Fortescue hits new lows as dirt shakeout builds

Iron ore futures are flat in Dalian so far today: Coking coal keeps falling: Big Iron is mixed as BHP pulls back, RIO jumps for no obvious reason and FMG, as well as WHC fall: FMG is sitting right on $6 as it approaches completion of its very attractive head and shoulders topping pattern with a

1

Aussie markets hiccup on China slowdown fears

The Caixin China services PMI is out today and what is usually a pretty marginal indicator seems suddenly to have crystallised lurking China slowdown fears: The Caixin China Composite PMI™ data (which covers both manufacturing and services) pointed to a weaker increase in total Chinese output at the end of the first quarter. At 52.1 in

5

Mad dash for banks as Big Iron buckles

Dalian is struggling again. Pointedly so when one considers the risk of coking coal disruptions: Big Iron is hanging on: Big Gas is up with oil, stupidly: Big Gold is down with gold sensibly: Big Debt is flying: The rate hikes appear to have triggered a dash for trash, from Brain Wilson at CLSA: While