| Weekly Trend: | Up | |
| Daily Trend: | Up | |
| Daily Momentum: | ___ | Up |
The market struggled to hold gains today due to a number of factors. Retail Sales increased which caused speculation of further rate rises by the RBA. The A$ found a decent bid against the Euro but was only slight;y firmer against the US$. The bigger news was the Central Bank of China selling 3-month interest rates at a higher level than over the prior 6-months signaling a possible tightening of credit condition. In its rhetoric the bank stated that there was a threat of ‘structural inflation’ which needed to be reined in. It will be interesting how this plays through to the local markets but I guess we’ll get some indication tonight from metals and other commodity prices. All in all the market needs to have a pause after its run into New Year so a slight pause is a healthy pause at this juncture.
Facebook comments: