Thursday 2nd June 2022
If investors were looking for signs of weakness in the US economy, in the hope that it might moderate the expectations for a rapid path of rate rises from the Fed, they didn’t get it, says NAB’s Rodrigo Catril. Instead, the ISM manufacturing PMI for May came in higher than expected, job openings remained high and job quits haven’t really come down much. Nothing there to suggest the Fed needs to tread a more careful path, so bond yields have risen sharply and equities have fallen further. It’s a different picture in Australia, where a stronger GDP read is being taken as a sign that we might weather the storm better than most.
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Fed confirms move to post-pandemic policy
The FOMC met and gave the market what it was expecting, says NAB David d e Garis. Although we have still seen a fall in equities and a sharp rise in bond yields. Hear the take-outs from the Jerome Powell press conference in this morning’s podcast
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11 Ways To Improve Your Stock Control
How much of your working capital is tied up in stock that isn’t turning over fast enough? Here are 11 ways to tighten up your stock control.
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Another big share flip and a boost in Aussie business confidence
Bond yields have reversed direction and so has everything else. NAB’s Ray Attrill says the auction of bond yields in the US tonight will be a test of value. Meanwhile all eyes will be on Philip Lowe for hints on the next moves from the RBA.
