Sunset Strip > Australian Market Trading Day Wrap

1. Local market had a cracker day on the US optimism flowing from the potential tax policy update. 2. Investors moved away from safety with bonds and gold taking a step back. 3. US president has flagged to give more clarity on the new tax plan within the next three weeks while aggressive talk about China was toned down. 4. RBA governor jumped on the Trump bandwagon on hoping for US policies to drive growth while warning that protectionism will unwind it all. 5. US Dollar Index keep the bounce momentum and may flag the start turn in the recent cycles in commodities and related currencies. 6. IMF raised risk in banking sector with housing exposure 7. China trade data shows that the economy is stable 8. US/Japan get together will drive uncertainties 9. Mexico raised interest rates to more than double the rate 12mth ago as falling currency drives inflation 10. Reporting season for the local market will start to kick in next week….get ready for volatility at stretched valuations!!! (VIEW LINK)