The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. VLAD placed a temporary ban on DIESEL and GASOLINE exports to ensure supplies are plentiful for the Russian domestic market....Aussies have been complaining after filling up @ $2.20 per liter - hate to say this, but we ain't seen nothin' yet....$4...$6...$10 - anything is possible when the true energy crisis hits us one day (and it will).
2. Government bonds took another decent hit (yields jumped higher)...I'm seeing some signs that we are entering an era of STAGFLATION.
3. The Volatility Index (often known as the FEAR Index) in the US surged 15% overnight.
4. Looks like the AI hype train has come to be bit of a stop...Nvidia shares have fallen 16% from its high and Microsoft has pulled back 10%....I don't know about you, but I hardly hear anyone talking about ChatGPT anymore.
5. Lithium sold off again in China....where it stops is anyone's guess. Hard to know if the market is oversupplied or undersupplied right now as I'm hearing both!
ASX Market Update
ASX 200 down to 7065
Our market had another decent touch up, but for us it wasn't that bad with some of your accounts even managing to squeeze out gains.... ETPMAG put on 1.08%, PMGOLD added 0.74% and Ramsay (RHC) increased 0.8%....Speaking of RHC - I wouldn't be surprised to see the old boy rally 30% from here. BUY
OIL is the BIG DADDY of the commodities market....
The Day Ahead
- Our SPI is down 97 points
- Bitcoin down 1.24% to $26,604
Movements affecting our resource stocks today (USD)
- BHP in the US down 3.1%
- Newmont down 1%
- Gold down 1.3% to $1939
- Paper Silver down 0.65% to $23.68
- Platinum down 1.95% to $923
- Copper down 2.25% to $3.69
- Brent Crude down 0.37% to $93.18
- Iron ore down 3.6% to $117.40
Asian Market Update
China down 0.77%, Hong Kong fell 1.29% and Japan off 1.3%
Electricity prices could go mental over the coming months if we get a cold winter in Japan, China and Europe....BUY WDS, STO, BPT, URNM, WHC & NHC for all your energy needs!
Japan's falling LNG stockpiles may prompt more purchases ahead of winter🇯🇵🚢
— Stephen Stapczynski (@SStapczynski) September 20, 2023
Global Market Update
DOW down 370 points to 34,070
Stocks, bonds and GOLD fell as money poured into the perceived safety of the USD...China and other EASTERN nations will continue to accumulate more GOLD from the sellers in the WEST.
Germans off 1.33%, Brits dipped 0.69% and Frogs fell 1.59%
Overnight the Bank of England kept interest rates on HOLD @ 5.25%, but we saw the Swedes and Norwegian's both put through 0.25% hikes.
Key Market Summary