Markets closed on a negative note Friday, troubled by surging oil prices and AI/Tech concerns. Oil prices spiked above US$100/barrel, once again, compounding the energy crisis. This translates directly into inflation and interest rates. The massive investment in AI is now concerning, due to the cost of servicing, said debt. The flow on, is the Chips sector, which also faces extremely stiff competition from Chinese manufacturers. The Dollar remained steady, with the EUR trading above 1.1200, while the GBP regained 1.3300.The decline in the AUD was not arrested and the commodity currency floundered around 0.6950, while the NZD looked to regain 0.5650. The Australian economy is under pressure, highlighted in the latest Unemployment reading, while inflation surges. This coming week will include inflation readings across Asia and Europe, while GDP growth may now come under the microscope.
