US equity markets continue to trade around record highs, while oil prices soften, due to the Venezuela situation. Trump has plans to control the Venezuelan oil production and distribution and this has softened the price of oil, on international markets. Greenland appears to be next on the US agenda, with options including military, to take Greenland under the USA’s wing. The recent global display of American domination, aggression and assertion is on full display. The push back will come. The US Dollar remains firm, with the EUR trading below 1.1700, while the GBP holds under 1.3500.Commodity currencies are beneficiaries of the global resource turmoil, with the AUD consolidating above 0.6700, while the NZD looks to regain 0.5800. Australian inflation slumped dramatically, with the CPI falling to 3.4% p.a., from an annualised 3.7%. This will take the pressure off the RBA, who had been considering rate hikes to contain inflation, but may now have some leeway.
