Sunset Strip | Aussie Afternoon Institutional Market Wrap
Aussie market was hammered due to strengthening USD after US Fed minutes pointed to rate rise cycle. The rising USD took down commodity prices and currencies everywhere. Resources were the most beaten up today and that may last a few more weeks as every US data confirming potential rate rise cycle will take effect. As expected the US fed delivered a lot of hawkishness, but we have all seen this before. We have been getting weak to flat domestic data and strong US data. Every new data point in that sentiment will further devalue AUDUSD. As the market pulls back slightly, buy into the market while everyone else is scared!!! We continue to favour large to mid cap financials for yield and small to mid cap industrials for growth. FOMO will come after this pullback as rates are going to remain low for longer than market expects!!! (VIEW LINK)
9 topics