Takeover action brought some relief for investors this week as central banks ploughed through political objections to push on with their attack on inflation, promising to continue ratcheting up interest rates until consumers stop spending.

Takeover action put gold in the limelight this week thanks to Newmont’s bid for Newcrest, though the metal itself refused to co-operate, falling by US$50 an ounce even as Newcrest’s share price rose by $2.71 (12%) to $25.07.

Peak U.S. interest rates moved into sight this week, building on the optimism unleashed by China’s reopening and adding to confidence that the global economy might dodge a recession, which is good news for Australia’s commodity-heavy economy.

Lithium stocks led the way in an Australia Day-shortened trading week but the more important news, which will shape markets for the next few months, is that inflation is not yet under control and that means interest rates still have only one way to go, up

China’s rush to reboot its slowing economy is underpinning confidence in the Australian stock market, but the Chinese shift has been so sudden that signs of dislocation are emerging, such as evidence of a copper short squeeze along with wide differences in company valuations.

Is the boom back? That’s a question worth asking after a fabulous opening burst of trading on the Australian stock market since the start of the new year.

The Santa rally which has delivered a 10% rise in the Australian stock market over the past three months started to fade this week as investors took a look at 2023 and the waves of uncertainty and volatility the new year will bring.

Energy sector deals, funded in part by the re-allocation of iron ore profits, put a spark in the stock market this week even as investment banks ran fresh storm warnings up their economic flagpoles.

Christmas came early this week for investors as interest rate pressure eased, the battery metals rush accelerated, gold bounced and Australia’s soccer team progressed to the final 16 of the World Cup.

Discovery and deal news was the highlight of a week of steadily rising share prices, but with the most significant event being signs of a breakdown in the relationship between governments and central banks which could cause economic chaos next year.

Takeover time and the promise of an easier-to-deal-with China sparked a burst of optimism on the Australian stock market this week, where the hunt for energy assets, old and new, picked up speed.

Gold moved back to centre stage for Australian investors this week but the bigger event was in the wings with the collapse of a cryptocurrency exchange which has been dubbed “crypto’s Lehman moment”.

Costs, especially the cost of money, weighed heavily on financial and commodity markets this week with the U.S. central bank warning after its latest jumbo interest rate increase that rates will keep rising until they hurt.

Lithium and rare earths were the news and money makers on the Australian stock market this week with a star turn from niobium, a low-profile, steel-hardening metal, dominated by supply from Brazil.

The Australian stock market slipped a little this week but only after another roller-coaster ride. Up one day, down the next, with the focus firmly on a deteriorating international picture as storm clouds gather.

Discovery news and investment deals took centre stage on the Australian stock market this week even as the economic storms of the Ukraine war, rising U.S. interest rates and a European recession continued to rage overseas.

Markets bounced back this week but the biggest bounce was in gold and while that will have pleased many Australian investors, it’s also a sign that the recovery might be a relief rally rather than something more sustainable.

A volatility vortex of strength rarely seen whipped financial markets into a frenzy this week and almost broke the Bank of England.

Yawning gaps in asset-value estimates have emerged as a key measure of the uncertainty gripping global markets as central banks tighten the interest-rate screws.

The calm after the storm is one way of describing Thursday’s stock market recovery after Wednesday’s rout.