Australia: Does it Matter What's Going on There???

The Strait of Hormuz Needs to Reopen Very Soon

• The newest extension of the ceasefire has the stock market rallying strongly again this morning, but the continued closure of the Strait of Hormuz has other markets (especially crude oil) reacting in a less bullish manner. That said, with plenty of liquidity sloshing around the system, investors are confident that the Administration can keep the stock market’s rebound intact. (Who can blame them for thinking this way?)

• That said, it should be a good idea for investors to keep an eye on the shortages that are developing in many areas around the globe (in places like Australia). If the Strait does not reopen soon, it’s going create the kind of global slowdown that won’t be ignored forever.