The latest market news, commentary and strategy by Adrian Rowney
5 Things that Grabbed my Attention
1. ABS reported the inflation rate pulled back in Feb to 6.8% from 7.4%....I'm calling BS.
2. I previously thought Dr Phil of the RBA would raise interest rates next week by 0.25%, but with the ABS manipulating inflation lower, I think he now has an excuse to keeps rates on HOLD.
3. Chinese tech behemoth, Alibaba is splitting up into six different business units....Very likely it was on Xi Man's orders.
4. The little toad - Sam Bankman-Fried - founder of the now failed FTX, is being charged with bribing Chinese officials to the tune of $60mil.....What a mess - I wonder how much FTX customers are going to get back.
5. China just settled its first LNG trade in YUAN.
ASX Market Update
ASX 200 up 16 points to 7050
Resources were mostly up while banks were weaker.
Below is the ABS data on inflation....I am calling TOTAL BS; rent only up 4.8% and meat/seafood prices rose just 3.3%.....The chops I bought the other day were $52/kg - are you kidding me ABS: 3.3%?????
Random Observation
Historic...
China's first yuan-settled liquefied natural gas (LNG) trade was completed on Tuesday through the Shanghai Petroleum and Natural Gas Exchange, with about 65,000 tonnes of LNG imported from the UAE changing hands in the trade. (file pic) pic.twitter.com/7J9KYipvmB
— People's Daily, China (@PDChina) March 29, 2023
The Day Ahead
- Our SPI is up 38 points
- Bitcoin up 3.7% to $28,347
Movements affecting our resource stocks today (USD)
- BHP in the US up 1.95%
- Gold down 0.3% to $1984
- Paper Silver up 0.3% to $23.49
- Platinum up 0.59% to $977
- Copper down 0.22% to $4.07
- Brent Crude down 0.6% to $78.18
- Iron ore up 1.5% to $124.40
Asian Market Update
Japan up 1.33%, Hong Kong rallied 2% and China dipped 0.16%
I think Xi Man mandated this move. No way he would want CHINESE TECH becoming so powerful like in the USA, that they could one day be a threat to his leadership.
⚡Alibaba opened 14% higher after announcing a 6-way split of its businesses, the most significant organizational overhaul in its 24-year history. The six units can pursue IPOs when they are ready, which helped boost investor sentiment. $BABA https://t.co/MsWgBPhCwI
— CN Wire (@Sino_Market) March 29, 2023
Global Market Update
US Market
DOW up 323 points to 32,717
US stocks rallied as fears subsided over further bank runs....I guess the FED digitally pumping $400bn into the financial system to plug a hole has worked...for the time being.
European Markets
Germans up 1.23%, Brits added 1% and Frenchies put on 1.39%
I was a bit surprised to see European markets in a good mood overnight as the incumbent UBS CEO abruptly quit after taking over the failed CREDIT SUISSE.... The dude was obviously uncomfortable with the CS's deal, so thought there's now way he'd be hanging around for that SH#T SHOW!
Key Market Summary
