Market expectations remain volatile in the wake of the US jobs report on Friday that saw the USD push the major currencies to new weekly lows while bond yields surged. This continued somewhat overnight as the latest ISM services print came in strong, indicating the US domestic economy remains well on track but Wall Street
The Market Ear assesses the risks to the rally. 1 – More big beats. Less big misses 54% of companies reporting have beat street wide earnings estimates by >1SD. This is significantly higher than historical avg of 48%. Only 10% of companies have missed estimates by >1SD (less than historical avg of 13%). Goldman 2
Dalian iron ore is weak and looking like it is breaking its uptrend: SGX has some catching down to do versus rebar futures: Scuttlebutt is not positive: Rising inventory weighed on sentiment. Iron ore inventory across 35 ports tracked by the Shanghai Metals Market (SMM) totalled 126.26 million metric tons in the week as of
DXY to the moon: AUD through the trap door: North Asia with it: Oil and gold eased: Dirt puked: Miners too: EM yawn: Junk has abandoned the rally: As yields jackknife: Stocks only go up: Data and Fed speakers were all over the place, but it was generally a positive message. The JPM global PMI
PropTrack has released some stunning charts showing that Australia’s median housing affordability is the worst in at least 30 years: As shown above, the decline in affordability is broad-based, impacting both higher and lower-income earners. The next chart from PropTrack also shows that a median household in Australia can only afford 13% of homes sold
‘A Midsummer Day’, Jane Sutherland, 1893, National Gallery of Victoria AUD/USD EUR/USD USD/JPY GBP/USD Gold WTI Brent Australia 200 US S&P 500 Japan 225 UK 100
The post Macro Afternoon: 5 February 2024 appeared first on MacroBusiness.
Asian share markets are somewhat positive in the wake of the tech lead rally on Wall Street from Friday night following the latest US non farm payroll print, but also had to absorb the weekend attacks throughout the Middle East. The USD is still strong following the upside surprise in the jobs print with the
The Reserve Bank of New Zealand was one of the world’s most aggressive central banks, commencing its interest rate tightening cycle in October 2021 and hiking the official cash rate (OCR) by 5.25% over this cycle: As illustrated in the below chart from Justin Fabo at Antipodean Macro, average New Zealand mortgage rates continue to
Another step forward for the Pilbara killer today: Guinea’s National Transition Council approved a joint venture between Rio Tinto Plc, China-backed Winning Consortium Simandou and the government that seeks to develop the world’s biggest untapped iron ore reserve. I expect iron ore to be already dying before then. This will finish it off.
The progressive propaganda sheet formerly known as The Guardian is up to old tricks again today: Hundreds of Australians experiencing homelessness are dying more than 30 years prematurely in a nationwide crisis fuelled by despair, critical housing shortages, a breakdown in health provision, violence on the streets and failures of the justice system. A 12-month