Aussie market continued its risk on trade with yield stocks seeing buying and growth stocks seeing selling after the US Fed left the rates unchanged. As we have been saying for months, US Fed did not move on rates by blaming benign inflation, failing global growth and China slowdown. US Fed is now in a bind and will move later in Q4 while the long term normalisation will be very slow. The volatility indices in Australia and US as well as the Fear and Greed index for US are all showing the optimism that has returned to the market. The two main trading partners have downgraded the growth outlook while Australia is expecting above trend growth next year. Market maintains the positive overall sentiment after US Fed move with yield trade live and kicking while growth stocks were sold down. Resources were hit the most while Gold shines as the best sub sector. Yield trade is back on as US Fed is expected to keep rates low for longer despite a rise in back end of Q4. (VIEW LINK)