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Morning sports fans,

A tragic end to the events in Sydney yesterday. Thoughts and prayers are with the families affected by this horrible outcome.

Seems a little trite and superficial to be talking finance after yesterdays’ events. But I guess the show must go on..

The markets once again last night were in free fall mode in places, Zombieland, Rubles, South America and even spreading to gold…our market continues to play a familiar refrain..gets hit early recovers and bargain hunters step in and we close better than we started..then the following day we rinse and repeat..now I am no technical analyst but at some stage we will see the bargain hunters get bored or just throw in the towel and the market will just continue to fall..was surprised yesterday given the tragic circumstances in Martin Place we didn’t see more panic…suspect today we will see the script play out as usual..we hit my first target of 5150 which was the October low and bounced…we may try another go at the low today but it will bounce but I suspect that we shall see 5000 by Xmas…think some of the Xmas cheer has left the building!!!!

STOP PRESS-Russia has just raised its bank rate to 17% to defend the Rubble…game on…this is what can happen if the currency falls too quickly and the Central Banks are tasked to prevent a complete collapse…everyone wants their currency low but they CANNOT lose control…Russia has lost control!!

Idea of the Day

Resist the temptation to do anything but nibble…we have more problems to come and more downside I suspect..keep your powder dry for the time being….5000 is my target…the February low was 5070 so that may be the point to start buying…but be careful out there..

“There are known knowns. These are things we know that we know. There are known unknowns. That is to say, there are things that we know we don’t know. But there are also unknown unknowns. There are things we don’t know we don’t know.”

 Amazed that the Dow is still above 17,000…

Things to make me go mmmmm!!!

This is interesting…In China the big banks are losing their deposit base big time… They have lost 950 billion yuan ($154 billion) of deposits in the three months through September, the first quarterly drop since 1999. In the first 11 months, new deposits were 23 percent lower than in the same period last year, data shows. So much so that they are offering huge incentives to punters to deposit money with them..if you deposit a certain amount they give you a Mercedes!!!There has been such a huge rise of unofficial money lending soaking up depositors it’s scary..peer to peer lending…

Recall Holdings boss Doug Pertz said his board is open to an improved offer from Iron Mountain, but he dismissed the US paper storage giant’s $2.2 billion takeover bid as inadequate, given the “huge amount” of value that would be created in a merger.

Busy ,busy, busy…Chinese flash manufacturing PMI will be released at 12.45pm this afternoon. We’ll also receive flash manufacturing PMI gauges from the US, Eurozone, Germany and France, housing starts and building permits from the US, CPI, PPI and the latest house price index from the UK, trade figures from the Eurozone and Italy along with German investor sentiment.

Talk of $40 oil… The oil producing group is willing to keep on pumping unless things get really, really bad, according to a senior figure in the cartel.

“China will have more middle-class people by 2020 than the whole of the EU. The West just doesn’t get it, America certainly doesn’t get it”. This from Garry Jones, LME CEO..

MYEFO yesterday showed the horror of falling revenues…Labour had the same problem..Coalition now in the same boat and unable to turn back…at least Smokin Joe didn’t stick the knife in with spending cuts that would really hurt the economy…he will wait until next year and keep his fingers crossed that the price of commodities will turn up…here’s hoping..

Uber in more trouble in Sydney and other centres…this one has few clothes…Still don’t understand BitCons and it has been one of the worse performing assets this year…halved…of Course the Russian Rubble takes the biscuit..13% down last night against the dollar…never kick a bear in the ghoulies though..they can arc up..

The Chicago Board Options Exchange Volatility Index, also known as the VIX (VIX), jumped 78 percent in the past five days, its biggest advance in more than four years. The gauge jumped as much as 18 percent and lost as much as 16 percent today.

Venezuelan bonds sank below 40 cents on the dollar and Thai stocks fell the most in 11 months. Brazil’s corporate debt market is reeling as a graft probe of state oil producer Petroleo Brasileiro SA infects the market.

China’s holdings of U.S. Treasuries fell to a 20-month low in October, as yuan appreciation indicated less of an impetus to buy the government securities. China held $1.25 trillion in U.S. debt as of October, a $13.6 billion drop from September, Russia also dumped Treasury bonds too with a $10bn drop recorded.

Europe goes from up 7% to down 1.5% in a week!!!

euro chart

Good start to life from new listing ACO yesterday…not!!!

Rupert Murdoch’s Fox News in the US has surpassed itself…more guns would have allowed hostages to defend themselves!!!!Dick.

At least five people were killed in shootings at three locations in suburban Philadelphia and a manhunt was under way for the killer….so much for that theory Fox News…

And finally….

Father O’Sullivan rose from his bed one  morning.

It was a fine spring day in his new parish.

He walked to the window of his bedroom to get a deep breath of the beautiful day outside.

He then noticed there was .  . . a donkey lying dead in the middle of his front lawn.

He promptly called the local police station.

The conversation went like this:

“Good morning. This is  Sergeant Jones. How might I help you?”

“And the best of the day te yerself. This is Father O’Sullivan at St. Ann’s Catholic Church.

There’s a donkey lying dead in me front lawn and would ye be so kind as to send a

couple o’yer lads to take care of the matter?”

Sergeant Jones, considering himself to be quite a wit and recognizing  the Irish accent, thought he would have a little fun with the good father, replied,

“Well now Father, it was always my  impression that you people took care of the last rites!”

There was dead silence on the line for a moment .

Father O’Sullivan then  replied:  “Aye,’ tis certainly true; but we are also  obliged to notify the next of kin first, which is the reason for me call.”

Have a great day….hug your loved ones…