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25 Sep 2024

Two steps forward, one step back

• Shaky sentiment. After a strong run equities slipped overnight. Bond yields rose & the USD clawed back ground. AUD & NZD dipped.• AU CPI. Monthly headline CPI indicator decelerated as government measures washed through. But progress on core/services inflation is more gradual.• Event radar. Several US Fed members speak tonight. US jobless claims & durable goods released. Locally, RBA’s FSR & job vacancies are due. After a strong run the positive risk sentiment that has washed through markets reversed course slightly over the past 24hrs. There has been little top-tier economic data released globally, and although geopolitical tensions in...

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China-Administered Sugar Rush Fades

The greenback is holding near an eight-month low as the impact of yesterday’s Chinese stimulus announcement dissipates and an unexpectedly-extreme fall in US consumer sentiment takes a toll on risk appetite. Equity market futures are setting up for a softer open and front-end Treasury yields are pushing slightly lower, even as long-term rates continue their ascendance. The Conference Board’s consumer confidence index tumbled by the most in three years in September. The headline index dropped 6.9 points to 98.7, well below economist estimates, as households reported a deterioration in current conditions and turned more pessimistic on the future. The share...

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