Sunset Strip | Aussie Afternoon Institutional Market Wrap
Aussie market started negative and closed further down at the lows as global sentiment remains weak into the Valentine’s Day weekend. Let’s hope the markets don’t deliver a Valentine’s Day Massacre tonight in Europe and US. We still have China to come back on board next week and that could be down 20% in a day in this environment. The market is jumping on shadows and even a tweet could move it up or down substantially. The main trend remains bearish on US markets and the rest are getting dragged down with it. Spot Gold has broken the down trend and looks to break above 36mth MA after breaking 12mth and 24mth MA. Gold equities had a great day and that has been the trend since the US Fed raised rates in Dec. In an environment of global downgrades and negative rates, Australian bonds and equities are beginning to look very attractive. The best long short for the past few months has been LONG GOLD, SHORT OIL and we maintain that view into the weekend. (VIEW LINK)
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