Australian Shares

The Market Ear on the Trump cross-currents for equities.

Wall Street failed to advance on its latest surge overnight mainly due to a fall in tech stocks, led by Apple while European shares remained boisterous across most of the continent.

Asian stock markets are somewhat mixed although local shares got a boost on a surprise uptick in the unemployment print that energised more RBA rate cut speculation.

Via Goldman’s useful Scott Rubner who sees risk on. 1. Largest macro ETF shorting since 2021 at GS PB Current macro discretionary equity short position is elevated at GS PB. ETF shorts are up +24% in the past month (the fastest pace since February 2021, i.e. the meme stock).

The latest US CPI print overnight sent stocks, commodities and undollars higher with Wall Street having its best one day performance in months while European shares also rebounded strongly.

Asian stock markets are mixed alongside FX markets as we all await tonight’s US CPI print with Wall Street still in hesitation mode amid the LA firs and concerns over the incoming Trump tariffs and other shenanigans.

The first battle between bond vigilantes and King Trump has gone to the former.

Wall Street is again failing to find traction following last Friday night’s retracement with tech stocks again pulling the edifice down while European shares rebounded slightly despite the higher Euro.

Asian stock markets are in the main doing a lot better in reaction to a somewhat mixed first session overnight on Wall Street as concerns over the incoming Trump tariffs waned.

The Market Ear with more on the equity selloff. Breaking bad SPX broke below the first trend line on Friday, and closed below the 100 day. The move lower is extending, and the index is approaching the big trend line (although this one only has 2 bottoms so far).

Wall Street failed to rebound from its Friday night retracement with tech stocks again pulling the edifice down while European shares continued to selloff mainly due to falls in Italy.

The response to the US unemployment print on Friday and subsequent tightening of oil sanctions on Russia has seen Asian stocks gapped broadly lower on the weekend gap and stay there in afternoon trade.

Wall Street reopened on Friday night but I’m sure most traders would have wanted a long weekend instead as the latest US non-farm payroll aka unemployment print came in stronger than expected, pushing USD higher against almost everything while stocks lost significant ground across both sides of the Atlantic.

Asian stocks are lower across the board without a lead from Wall Street that was closed overnight and in response to some PBOC bond shenanigans while currency markets were somewhat subdued as we all await for tonight’s NFP print.

Wall Street was closed for President Carter’s funeral with risk markets in a hold as we await tonight’s US non-farm payroll aka unemployment print which will shape the rest of January’s risk taking mood.

Asian stocks are generally lower due to subdued Chinese inflation numbers and continued hesitation around Trumpian macro machinations with the USD regaining strength against all the undollars again.

My basic thesis for a major AI bubble has so far played out well.

Wall Street had another tipsy session overnight as the latest US initial jobless claims came in slightly lower than expected with the Trump tariff shotgun approach still weighing on risk markets, let alone the bluster about invading Canada and Greenland.

Asian stocks are generally lower due to individual local conditions and not the overall macro view although the slump on Wall Street overnight is not helping risk markets overall.

Wall Street had a dour session overnight led by big falls by tech stocks as Asian and European shares lifted higher as concerns over inflation and Trump’s tariff shotgun approach weighed on risk markets.

A much better trading session for Asian stocks as the slightly weaker USD takes some pressure off while Chinese stocks finally saw a rebound on PBOC speculation of support.

A surge in European stocks overshadowed what was looking like a good night for Wall Street with only tech stocks lifting higher as the broader indicies keep absorbing the latest USD machinations and speculation around the incoming Trump Circus with the direction of tariffs in particular.

The first trading session of the week is all about the weekend reaction to what should be strong USD moves but instead King Dollar is rolling over against the undollars except gold with the Canadian Loonie pushing higher on speculation Governor Trudeau (sic) is about to resign.

Friday night saw the latest US ISM manufacturing PMI prints coming in stronger and combined with some Fedspeak saw the USD drop slightly against most undollar assets, except gold.