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Website improvements

Hi all, A quick note to offer guidance on the new website. As well as the layout changes that make it easier to access content for new readers, it comes with a dramatically improved sign-up and resubscription process, greatly enhanced speed, and a much better mobile experience (since 95% of traffic is now phone!). The

Latest posts

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Macro Afternoon

A sea of red across most Asian markets as they end the trading week on a downer as the two negative sessions in a row on Wall Street continues to upset confidence. The latest Japanese inflation figures were not as upsetting although core inflation above 2% is still worrying the BOJ. The USD continues to

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NDIS turns into giant productivity sponge

Productivity Commission boss Danielle Wood noted it has always been hard to boost productivity in labour-intensive industries such as the aged and disability care sectors. With the care sector certain to form a larger part of the economy, Wood says that productivity in other industries will have to improve to combat the negative impact on

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Victorian living standards on verge of collapse

For years, Victorians have suffered from Stockholm Syndrome when it comes to the state Labor government. Victoria’s nine-month lockdown during the pandemic was one of the longest and most severe in the world. The state government’s incompetence with hotel quarantine and draconian enforcement ought to have scared voters away. Yet, Labor was voted back into

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Energy superidiot hydrogen dream turns nigtmare

Albo’s incredible new power shock surges on: Driven by his hapless $12Gj gas price floor: The East Coast gas export cartel tightened its grip on Australia’s throat yesterday as hydrogen face-planted with Twiggy Forrest: The architect of the first national clean hydrogen strategy, former chief scientist Alan Finkel, says his support for the fuel has

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Queensland faces unprecedented housing shortage

Earlier this year, we were greeted with images of tent encampments mushrooming within Brisbane. A report by 9News highlighted the situation, with “makeshift campsites and tent cities expanding across south-east Queensland”. This included a “tent city in Rothwell, in the heart of Premier Steven Miles’ electorate of Murrumba”. According to PropTrack, Brisbane dwelling values have rocketed

2

Jim Chalmers loses 70k jobs in 2.5 years

He is as accomplished a liar as any in parliament: On Thursday, the Treasurer on social media platform X said new figures from the Australian Bureau of Statistics showed the Albanese government “has ­created more jobs in a parliamentary term than any government in history”. “We’ve created almost 930,000 jobs since we came to ­office – faster

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Stocks deflate

The Market Ear wraps up the correction. What is happening…? Here are a couple of short/medium term catalysts to explain the weakness (outside the most important one – the MoMo carnage – dealt with in previous email). 1. Rotation rampage……Several days of Big Tech underperformance, as investors expanded their exposures, adding more pro-cyclical exposure and

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China makes all the same mistakes as Japan

As they should say and don’t, history doesn’t repeat, but it sure does repeat. Why is China trying to combat a real estate crash with higher interest rates? China’s central bank is readying a bold new experiment in global monetary policy — taking a leaf out of the hedge fund playbook and arranging to short

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Iron ore and steel turn falling comet

Shanghai rebar is howling that the FE complex is in deep trouble as it takes out seven-year critical support on the monthly chart: The trigger yesterday was a meek Third Plenum statement: At the session, an analysis of the present situation and the tasks we face was conducted. It was highlighted that we must remain

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Macro Morning

More political and macro volatility overnight as the ECB meeting came and went with no change while the odds of President Biden stepping down increase. Wall Street pulled back further alongise European stocks although the latter had some relief as Euro pulled back as USD captured the safe haven bid. Volatility is increasing across all

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Australian dollar burned in commodity bonfire

DXY rebounded last night: AUD fell: North Asia too: Oil and gold eased: The copper bubble burst: Miners retest on deck: EM too: Junk is fine, suggesting a run of the mill correction for overheated risk: Yields popped: Stocks dropped: Commodities were puked, and why not? China’s Third Plenum was all quality and no quantity

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Australia inundated with half-built apartments

Wednesday’s dwelling construction data from the Australian Bureau of Statistics (ABS) was an unmitigated disaster and showed that the nation’s housing shortage continues to worsen. Only 171,667 dwellings were completed in the year to March, roughly 78,000 below the Albanese government’s annual 240,000 construction target. The forward-looking construction indicators were even worse. There were only

21

Macro Afternoon

Another mixed session on Asian markets with the pullback on Wall Street overnight upsetting most equity markets while the sharp appreciation in Yen and local unemployment figures helped muddy the currency waters. European and US stock futures are quite flat as we head into the London session while the USD is being pushed around again

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SBS runs interference with immigration lies

Given the lies it constantly airs on the subject, SBS should be considered a taxpayer-funded lobbyist for Big Australia immigration. Last month, SBS Punjabi interviewed prominent immigration propagandist and managing director of the Australian Housing and Research Institute Michael Fotheringham to refute the notion that the rental crisis is being driven by high immigration. Fotheringham

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Millennials are sad sacks

Bernstein on youth makes for unhappy reading. Physical and mental health of young Americans has considerably worsened over the last decade. Due to advances in medicine, Gen Alpha is significantly less likely to be harmed by severe illnesses like polio or leukemia vs. Boomers. But the sharp rise in childhood obesity has exposed Gen Alpha

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MB Fund Podcast: Another Look At A Trump Presidency

After surviving an assassination attempt, Trump is leading most polls for the next president. In this week’s podcast Nucleus Wealth’s Chief Investment Officer, Damien Klassen and Chief Strategist, David Llewellyn-Smith, looked at the legal issues and the potential outcomes, the likelihood of a Trump re-election and what it would mean for stock markets and bond

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Strong jobs data opens path for rate hikes

The official ABS labour force survey continues to defy nearly every other labour market measure, recording strong employment growth of 50,200 in June and a solid 0.8% rise in hours worked: The number of jobs added was more than double economists’ estimates of 20,000. However, the official unemployment rate rose slightly to 4.1% (from 4.0%

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Sack Rudd, install ScoMo in Washington

This is ridiculous, as usual: Australian ambassador to the US Kevin Rudd has moved to shore up his standing among MAGA Republicans, texting vice president candidate J.D. Vance and meeting key Donald Trump allies as he scuttles the idea that he might be replaced under a new president. “I think you’ll find there’s a wide

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The bubble bursts

Goldman with the rub. July 17th (today) is here and typically marks the end of summer BBQ / pool /pirate themed party, for the S&P 500 since 1928. The S&P has hit 38 new all-time highs, on pace for the 2nd most closing highs in ~100 years, only 1995 is shaping up to be stronger