Share

NAB Morning Call
Less confidence, less missiles
Wednesday 26th March 2025
NAB Markets Research Disclaimer
Financial Services Guide | Information on our services - NAB
US markets lost their mojo a little in this session. NAB’s Gavin friend says this was in part due to a weaker than expected consumer confidence report from the Conference Board. It showed the lowest number for forward expectations in 12 years. The enthusiasm early in the week for more caveats in the April II tariffs diminished somewhat today as president trump indicated that car tariffs would start almost immediately and that his administration was tapping existing laws to impose broader tariffs. There's more enthusiasm in Europe however where Germany's Ifo business expectations rose and there was renewed hope that Ukraine and Russia will agree to a deal to enable merchant shipping in the Black Sea to operate without being shot at. There's also discussion about yesterday's budget, today's CPI numbers and what could be a very tricky day for the UK chancellor.
More episodes
View all episodes
86. Weekend Edition: The Dollar Will Continue to Slide, Come What May
33:08||Season 9, Ep. 86Thursday 24th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABThe US dollar will continue to slide, come what May. And probably come what June and July. Whilst he’s reluctant to be drawn too closely on timing, NAB’s Ray Attrill, head of FX strategy, says we can expect to see the US dollar fall another 10 percent, at least, with the Aussie returning about the 70 cent mark. Phil asks if that’s the best-case scenario; one where trade deals are agreed and tariffs minimised. What if the hefty tariffs return? Or Trump deposes Jerome Powell? Or the US heads into a recession? Whichever way you spin it, Ray says the US dollar is getting weaker and it’s not a short-term change. The weaker dollar could be around for a long time.85. China’s tariff hopes. A less worse scenario.
15:07||Season 9, Ep. 85Thursday 24th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABUS equities rose again this session, and te US dollar strengthened for the second session, as the Trump administration talked up the possibility of cuts to China’s tariffs. The Wall Street Journal reports the levies could be cut by more than half in some cases, although there’s declaration from Trump himself, or any indication of when this might happen. But as NAB’s Taylor Nugent explains, that’s not stopped markets seeing the positive side of it all. PMIs came in a little weaker than expected across Europe and the US, although manufacturing did somewhat better than services. It’s mainly second tier data today and tomorrow, and a ceasefire deal between Ukraine and Russia is looking less likely – if it’s accepted it’s a win for Russia.84. Peak Trump? Bouncing back on hope of deals
17:17||Season 9, Ep. 84Wednesday 23rd April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABMarkets are behaving very differently today. US equities are rising, bond movement is subdued, and oil prices are back on the rise. NAB’s Sally Auld says sentiment is being driven by talk from the US administration about trade deals getting closer with India and Japan, and how he current impasse with China is unsustainable. So, does that mean tariffs won’t bounce back up after their 90day pause? That seems to be how markets are taking it, but Sally says the sentiment could change when we start to get real data on how badly the US economy (and others) have been impacted.83. Battle for the Fed Control
15:12||Season 9, Ep. 83Tuesday 22nd April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABThe 'sell America' trade continued on Monday, with equities and bond prices both falling. NAB’s Tapas Strickland says it’s uncertainty over the independence of the Fed that is playing on market concerns this time. The US President has made no secret of his desire to replace Jerome Powell as Fed chair, although there’s a question of how far Presidential authority can stretch. This compounds other concerns. For example, how likely are trade agreements? It’s becoming apparent that a deal with Japan hasn’t progressed far, whilst animosity between China and the US ramping up further. Both countries are now threatening their trading partners to pick sides in the trade war. Tapas says we are now starting to see hard data showing us what’s really going on.82. Weekend Edition: Flying on Thin Margins
28:22||Season 9, Ep. 82Thursday 17th April 2025Please note this communication is not a research report and has not been prepared by NAB Research analysts. Read the full disclaimer here.IATA is predicting the airline industry will break through the $1 trillion revenue mark, but with margins averaging up 3.6 percent. Phil suggests to airline industry analyst John Strickland that it’s not much of a return for such a capital-intensive industry subject to so much geopolitical risk. But, John argues, if you take the long-term perspective, and look for airlines with strong, proven management that have shown they can deliver margins and cope with crises, you can still enjoy healthy dividends. When it comes to the challenges of tariffs, the manufacturers face the biggest problem, with components sourced all over the globe. There’s also the rise of China’s aircraft manufacturing that is likely to break the Boeing-Airbus duopoly.81. NVIDIA AI chip ban as trade war with China escalates
14:32||Season 9, Ep. 81Thursday 17th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABThings are getting uglier in the trade war between the US and China. Equity markets have been hit by new limits on the export of NVIDIA’s critical AI chip to China, and threats of secondary tariffs on US trade partners who trade significantly with China. NAB’s Gavin Friend also talks through Jerome Powell’s speech and fireside chat at the Economics Club of China. He basically said, that with all the uncertainty, there’s a chance the Fed could hold back on any further cuts this year. That all depends on whether tariffs are eased. It’ll be a question the ECB will have been pondering ahead of today’s rate decision. There’s also Australian employment data to talk about.80. Boeing banned, bearish bank survey, royal win for Britain?
19:23||Season 9, Ep. 80Wednesday 16th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABTariff and trade news continues to dominate and drive markets in all directions. Sentiment surveys are now showing a serious downturn, with the Bank of America claiming investors are ayt their most bearish in 30 years. NAB’s Rodrigo Catril says we are still waiting to see the hard data from April. The difference in FX moves for the pound and the Euro has been interesting, with a deal with the EU seeming a long way off, with JD Vance suggesting a deal with the UK could be closer, because of Trump’s love of the royal family. Meanwhile China has reportedly stopped their airlines from buying or leasing aircraft or parts from Boeing. It’s another day of information overload, which makes it a tough call for the Bank of Canada later today.79. More tariff exemptions, but equities lose their early gains
16:59||Season 9, Ep. 79Tuesday 15th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABUS equities kicked off Monday’s session sharply higher on Friday's news of tariff exemptions for certain electronics items. Apple was one of the big beneficiaries. But as the session progressed most of those gains diminished, perhaps as President Trump’s weekend social media post sank in, suggesting nobody was exempt, they were just being moved to a different tariff bucket. Then, news circulated that car parts may also be exempt, pushing up the share price of auto manufacturers. NAB’s Ray Attrill joins Phil to make sense of the latest moves and to pick through the data that is still helping to guide investors.78. CEOs force exemptions. Is Trump ready to deal?
18:02||Season 9, Ep. 78Monday 14th April 2025NAB Markets Research Disclaimer Financial Services Guide | Information on our services - NABThere was very little market reaction to the increase in tariffs from China on Friday. Could equities respond, though, to the news of exemptions announced by President Trump for certain electronics goods. Could this mean, as CEOs queue up for meetings at the White House, more exemptions will follow, including country-specific trade deals. NAB’s Skye Masters says all of that could be good for equity markets, but the damage has already been done for bond markets, with the sell off indebt likely to continue, pushing the US dollar lower.