Thursday 6th August 2020

Gold has broken the $2,000/ounce mark, so is it making a run for it? That’s a question Phil Dobie puts to NAB’s David de Garis in this morning’s Morning Call podcast. Some see it as a better investment than the negative real-yields of government bonds. Yet equities continue to rise, driven by the hope that Congress in the US will arrive at a fiscal stimulus package to keep the economy ticking over for the remainder of the year. They’d better hurry, senators are heading home for the summer recess. Stronger than expected services numbers added to the confidence overnight. Jobs could be the weak point – ADP data showed far fewer new jobs than anticipated. Other indicators are showing a similar story, so non-farms payrolls tomorrow night will be watched keenly.