Matt Simpson

USD/CHF rests on key support ahead of today’s FOC meeting. Yet once we get past the noise, we could see support give way. In an earlier report we flagged that USD/CHF had struggled to close above parity since May, and that we were watching for its potential to roll over back within range. Whilst it teased us near […]

S&P500: The Long & Short Of It | Mastercard, NextEra Energy, McDonalds Spanning 3 sessions, the S&P500’s pullback from its highs was short-lived, yet by its own standards quite deep at -2.7%. Still, support was found at 3065 and prices are now consolidating just below record highs once more. Unless Trump unveils tariffs on China […]

It’s a mixed regarding USD performance overall, yet DXY points towards a near-term trough which could see a lower Euro and higher USD/JPY (at least over the near-term). By Thursday’s close, DXY had produced is sixth consecutive bearish session. Typically, we tend to see a streak ‘snap’ around 3-4 days, so a higher run can […]

Weekly COT Report: Bullish USD Exposure Hits A 6-Week High As of Tuesday 3rd December: Large speculators increased net-long to USD by $19.8 billion, taking it to a 6-week high Net-short exposure to AUD was decreased by 8,9k contracts Traders were their most bearish on yen in 6-months Weekly changes for FX majors were all under […]

ASX200: The Long And Short Of It | Beach Energy, Wesfarmer, Invocare It’s been a volatile week for equities globally, which were initially spooked on Tuesday another negative print from ISM manufacturing report. Whilst we’ve seen a minor rebound on Trump’s reassurance that “talks are going well” the markets aren’t really ‘buying it’, so we […]

BOC Optimism and Firmer WTI Boosts CAD | CAD/JPY, WTI BOC held rates as expected, although their statement was optimistic enough to send the Canadian dollar sharply higher. The statement was indeed one of optimism, although not hawkish as there is clearly no bias to raise rates. But with a relatively high OCR of 1.75%, it […]

AU GDP Miss Undermines RBA’s ‘Gentle Turning Point’ It didn’t take twitter long to react and compare the soft GDP read to RBA’s expectations. As we outlined yesterday, RBA gave themselves some very soft targets to hit and a long time to achieve them. Given they explicitly said publicly they’ll ease further if they’re not […]

RBA Hold Rates, Yet Could ‘Ease’ Their Way Into 2020 In the final meeting of the year, RBA decided to keep rates on hold 0.75%, whilst keeping the door open for further cuts. What made this meeting more interesting was that it followed on from Lowe’s highly anticipated speech last week, title “Unconventional Monetary Policy: […]

ISM Rattles Sentiment – Are Equities In For A Repeat Of December 2018? It was another sea of red where the ISM manufacturing report was concerned. The S&P500 took notice. Manufacturing PMI contracts for a fourth consecutive month. New orders and employment contracting back near post-GFC lows. Prices (manufacturing inflation) contracted at their fastest pace […]

S&P500: The Long And Short Of It | AMD, United Technologies, Apache, NiScource As my colleague Kelvin Wong noted, there are no clear signs of exhaustion on the S&P500 which sits just off record highs. Whilst Friday was a bearish close, it warns of a minor pullback at best as there is no evidence of a topping […]