Bit of a rollercoaster ride
The S&P/ASX 200 reaches the finish line down 6.3% on the year. Despite some sectors ballooning and others crashing, on aggregate, we’re back where we started at the beginning of the year. While some sectors have thrived in 2022, others have fallen way behind. What might be in store for 2023? Winners The big resource…
A fair wind on the energy markets
The US benchmark Henry Hub gas futures for prompt delivery dipped over 11% this week before settling 7.5% lower than Monday. Woodside Energy Group ASX:WDS (WDS) is lower by 4.5% on Wednesday. Better than expected number of production outages resulting from the US polar blast over the Christmas weekend, strong US production and exports, and…
The big themes to close out the year
Limited economic data and trading hours in the week. Seasonally low volumes with the S&P / ASX 200 benchmark down 5.6% this year. China reopening and US interest rate direction hogs the limelight into the year’s end. Markets to start the week Yesterday the front part of the US Treasury yield curve rose. The 4-month…
A chill in the air and in the markets
Polar vortex is bringing severe cold to much of the United States After selling off on Monday in the US, markets are freezing up To warm up, what are some of the big positives for 2022? The Big Chill A polar blast is set to hit the US this week and bring sub-zero temperatures to…
Solid foundations in the tech sell-off
Stagflation fears are slowing the market to start the week. The S&P / ASX 200 is down by almost 1.5% on Tuesday. Fittingly, tech is taking the final few blows to 2022; on the positive side, crypto is displaying some solid foundations. Winding down In what is anticipated to be a slow week as businesses…
Stagflation fears
Several key Multi-National Corporations (MNCs) have announced slowing hires or deliberate retrenchments in 2022 and 2023. The IMF expects global growth to slow from 6% in 2021 to 3.2% in 2022 and 2.7% in 2023. The Fed highlighted persistent service sector inflation on Wednesday and marginally raised the inflation outlook in the US. Costing the…
Is the US Dollar wave breaking?
Key US inflation readings came in lower than expected on Tuesday. The FOMC meets on Wednesday to decide on the present trajectory of US interest rates and, subsequently, the US dollar. The lower US dollar presents investing opportunities in developing economies and the mining sector at home. The US Dollar The broad basket consumer price…
A bumpy road or smooth sailing to finish the year?
After selling off last week, the US and Australia’s benchmark indices rebounded on Monday. International inflation, retail, business sentiment, and employment data points are being published this week. With inflation tapering, employment remains high, and with a bumper start to the holiday retail period, can the stock market finish on a high note this year?…
The good, the bad, and the ugly
On Wednesday, China signalled an end to zero COVID and commenced a mitigation policy. The Fed faces a difficult few days as inflation data is due on Tuesday, followed by a critical interest rate decision on Wednesday. Cold and still air over Northern Europe is causing power prices to surge. The Good China has finally…
Markets easily spooked by the Fed
Slight miss on Australian GDP expectations of 0.6% vs. the 0.7% forecast. Slumping Chinese exports, 8.7% lower than at this time last year. The US market sold off overnight and Chinese data out Wednesday morning is doing little to assuage some nervous investors. Oil and tech are feeling the brunt of the selling pressure. Oil…
