Sunset Strip | Aussie market continues to trade sideways for the 4th day in a row despite volatility in global sentiment

Mathan Somasundaram

Deep Data Analytics

Sunset Strip | Aussie market continues to trade sideways for the 4th day in a row despite volatility in global sentiment. Turnover was just above $5.5billion. The market is stuck between stretched valuations on yield trade and underlying weak economy getting worse. The basic rules about housing bubble are (1) you do not talk about the bubble (2) you don't talk about the missing factors (i.e. employment growth and wages growth) that can sustain the bubble from bursting (3) you find new ways (i.e. super) to pump more investment to support the bubble (4) even though there is no bubble, make major government agencies to remove this non existing risk from hitting the financial sector (5) if it blows up, then protect the financial system and let the public take the fall. The equity market is stretched on all valuation metrics, but the central bank action to maintain historical low interest rates are forcing the market to trade at a premium due to the yield differential. (VIEW LINK)

Mathan Somasundaram
Founder & CEO
Deep Data Analytics

Over 25 years’ experience in the finance/tech industry. Mathan has worked extensively in all parts of the finance sector (i.e. County NatWest, Citi, LIM, Southern Cross, Bell Potter, Baillieu Holst and Blue Ocean Equities). Currently Founder and...

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.


Please sign in to comment on this wire.

trending on livewire
Get the best of Livewire by signing up to our popular daily newsletter