Oil Surge and Hawkish RBA Set Up a Thorny Day for ASX

The Aussie dollar just hit a four-month high of US72.33¢, a rare piece of strength for local investors with international holdings. The surge comes as the RBA's hawkish pivot, with Deputy Governor Andrew Hauser warning inflation is "long enough" above target, pushes rate hike expectations to a fourth increase this year. For savers and bondholders, the yield environment is finally getting interesting.

The Bear Case

The ASX is bracing for a 94-point wipeout at the open...