[WATCH] Closing Bell — Now It’s Getting Interesting

By ,

In today’s Money Weekend…it’s been a wild ride over the past week…the Australian dollar has seen stiff selling pressure…the situation remains volatile…and more…

It’s been a wild ride over the past week, with the S&P 500 selling off sharply as expected.

In today’s ‘Closing Bell’ video, I have a look at the key markets that are causing volatility to pick up.

I analyse the US 10-year bond yield, S&P 500, Nasdaq, Russell 2000, USDJPY, and AUDUSD.

The announcement during the week that the Bank of Japan has doubled down on their determination to keep the Japanese 10-year bond yield at or below 0.25% saw the yen collapse from 128.00 to 131.00.

Are investors borrowing in yen and investing offshore, safe in the knowledge the yen will continue to weaken?

Perhaps that will provide buying support in US bonds and equities. There was a rally from oversold levels in US stocks that occurred after the BOJ came out with their announcement, so that may be the case.

The situation remains volatile despite the bounce in stocks late in the week.

Another bout of selling could see the S&P 500 fall below the low of the correction of the past few months, and that could ignite further selling.

The Australian dollar has seen stiff selling pressure since I told you it looked like it would turn down a few weeks ago. It should find buying support around here, but all bets are off if it falls below 70 US cents. I’d expect to see a quick drop to 68 US cents if that occurs.

Click on the picture below to watch my latest instalment of the ‘Closing Bell’.

Fat Tail Investment Research

Until next week,

Murray Dawes Signature

Murray Dawes,
Editor, Money Weekend

About Murray Dawes

Murray Dawes is the Editor of Pivot Trader and contributing Editor at Money Morning. He was one of five, from 5,000 applicants, chosen for a graduate position with the Swiss Banking Corporation — now part of banking giant UBS. The bosses quickly cottoned on to his potential and pushed him…

Sayona Mining Share Price: $190 Million Raised to Restart NAL Operation

Lithium producer Sayona Mining [ASX:SYA] has raised $190 million via an institutional placement to restart its North American Lithium (NAL) operation in Quebec.

Telus Revokes Bid for Appen: Appen [ASX:APX] Shares Plummet 20%

Shares for Appen [ASX:APX] have fallen over 20% today, as Telus revokes its takeover offer.

NAB [ASX:NAB] Enters BNPL Market by Launching Afterpay and Zip Rival

Big Four bank National Australia Bank [ASX:NAB] announced it will launch its own BNPL product, entering a crowded market.

Appen Shares Spike on $1.2 Billion Bid

Artificial intelligence services business Appen [ASX:APX] saw its shares spike 30% before entering a trading halt on news of a takeover bid from TELUS International.

Nanosonics Share Price Flat on Business Update

Healthcare stock Nanosonics [ASX:NAN] announced a transition to a direct sales model in North America.

TechnologyOne [ASX:TNE] Shares Flat Despite Record H1 FY22 Profit

Enterprise SaaS stock TechnologyOne [ASX:TNE] has released its half-year results, notching its 13th year of ‘record first half profit’.