Goldman has finally acknowledged that which MB has argued for years. While China’s rise lifted all commodity prices in the 2000s “beta” supercycle, we believe that three China trends will create significant relative value “alpha” opportunities across different commodities. Specifically, Beijing’s 1) focus on security of commodity supply, 2) supply-side decarbonization strategy, and 3) its
A quiet night for economic news but that didn’t stop the selloff in USD as scuttlebutt around Fed interest rate cuts grew larger which helped lift Wall Street out of its very temporary funk from Friday night. Currency markets again saw Euro to the fore while Yen is still hardening while the Australian dollar continues
Qingdao iron ore rose 1.1% to $92.12 yesterday. But SHFE futures are still falling and have opened new jaws with SGX iron ore: Dalian rallied a little: Panccaked coking coal is trying: CISA steel output for early August bounced a bit but is below 2019 levels: There is an iron ore bear frenzy in the
DXY is pricing Fed cuts: AUD to the moon! North Asia to the moon! Only oil is earthbound: Commods to the moon! Mining dead cat: EM to the moon! Junk spreads to the moon! Bonds to the moon! Stocks to the moon! The question is, how far does DXY fall to support this automated reflation
Australian Treasury Secretary Steven Kennedy claims that Australia’s net overseas migration (NOM) is on track to fall back to budgeted levels without the proposed 40% cap on international student enrolments: According to The AFR: Treasury Secretary Stephen Kennedy told a Senate committee in June, in comments that went unreported at the time, that his department’s
According to PropTrack’s home values index, Brisbane dwelling values have climbed by 72% since the start of the pandemic, easily outpacing Sydney’s 39% gain and Melbourne’s 16% rise: PropTrack also showed that Brisbane’s median dwelling value of $853,000 was $50,000 higher than Melbourne’s in July, with both houses and apartments valued higher than Melbourne’s: Separate
The latest quarterly labour market account from the Australian Bureau of Statistics (ABS) showed that virtually all the jobs created in Australia of the prior year were in the non-market (government-aligned) sector: By contrast, the market sector experienced nearly zero (6,000) jobs growth over the year, and the aggregate number of hours worked actually fell
A relatively solid session for Asian share markets given the lack of direction from Wall Street on Friday night with all the volatility still residing in Japan as Yen appreciates sharply against an ever weakening USD. Eurostoxx futures are flat with the USD still on the backfoot versus Euro and other currencies with the Australian
Last week’s shock decision by the Reserve Bank of New Zealand to cut the official cash rate by 0.25% was an admission that the economy is deteriorating much faster than the central bank had expected. The Monetary Policy Statement (MPS) accompanying the decision noted that “the overall level of real GDP remains below its peak
So says the parliamentary report: The inquiry arose from concerns that some liquified natural gas (LNG) producers will not meet their domestic gas commitments under the WA Domestic Gas Policy by the time the gas projects reach end-of-field life. A concurrent concern was forecasting indicating that WA may experience shortfalls of gas almost every year