Well, well, well.
Once again I am a little surprised at the indicator.
It actually rose 0.5%. I was expecting a 3% drop.
The gold price has held steady.
What is with the strength of the $A?
Our economy is getting weaker, particularly with the impact of bushfires that are nowhere near over.
No need to mention the drought.
Is it the pending trade deal? I do not think this deal is going to be in Australia’s favour.
If the US are increasing exports to China then other countries exports are going to be displaced.
Traditionally the only other major influence was commodity strength. Make up your own mind.
I have not looked into it but how are the traditional defensive stocks behaving? DYOR.
The four I consider are health, utilities, Telco’s and staples.
Bitcoin and Etherium have come off their lows. Significantly.
Nearly everyone has made the wrong call about gold in the last couple of months and continue to do so.
I suspect gold will tread water until details of the trade deal are announced.
If there are secret components then I think the market will react badly.
Exporters need certainty, particularly if making investment decisions.
I am tempted to take some profits are there are a couple of absolute bargains in the gold stocks.
Check out some of the PE’s and the dividend yield on some are beginning to look very attractive.
The US markets closed near their lows.
Maybe someone noticed the jobs report.
We are in for a very interesting week.
And possibly a nice surprise.
Here it is.
Have a pleasant weekend.
