Australian Investment Blog

This morning I happily woke to see the Dow down over 300 points (1.9%). All fingers were pointing at oil again, which fell over 5% to sub $US50/barrel for the first time since mid-2009 – see chart 1. However there is more than just oil battering the local resource stocks; conversely falling commodities is helping weaken the $A which in turn appears to be helping the ASX200.

1. Crude Oil is trading at levels not since mid-2009, down over 50% in just 8 months – see chart 1.2. Copper is trading at levels not seen since mid-2010, down over 40% since the highs over early 2011 – see chart 2.3. Iron Ore is trading at levels not seen since mid-2009 and is down over 55% since early 2013 – see chart 3.