The Australian dollar has been hit by a fresh wave of selling, plunging to
another 11-month low as investors continue to pile into its US counterpart.
The currency fell as low as 97.98 US cents in offshore trade, a level not
seen since early June 2012, and down from 99.12 US cents about midday on
Thursday. In early trade on Friday, it had recovered to 98.22 US cents....
The Aussie dollar has dropped 5 per cent this month. It started tumbling amid
more signs of a slowdown in China and after last week's interest rate cut by the
Reserve Bank. (here)
There may be an equity upturn, but any new year flush is likely to lose steam and there are too many big questions of fundamentals which are going to weight down any momentum for lift off. Same for bond crash predictions - money may be moving into equity, but doesn't make it smart or sustainable...
This piece is typical of false positives...
....Many analysts are quietly confident as the recovery in global markets gathers steam,...
...In the past quarter the ASX 200 index has risen 12 per cent in lockstep with the surge in global sharemarkets. In the US, Wall Street is just 5 per cent off an all-time high and in Europe equity markets have also risen as the ''rotation'' from bonds to equities gathers steam. Price-to-earnings ratios have jumped from 10.6 a year ago to 13.7 and volumes going through the market have almost doubled.....(here).
