MARKET SNAPSHOT

  • SPI200 futures closed down 8 pts to 5856
  • SP500 futures closed up 2.25 pts to 2385.50
  • FTSE100 futures closed up 23 pts to 7200
  • DAX30 futures closed up 109.50 pts to 12638.50
  • GOLD finished down $20.10 to $1228.40 an ounce
  • COPPER futures finished down $2.90 to $251.45 a pound
  • OIL futures finished down $2.33 to $45.49 a barrel
  • CRB Index finished down 3.42 pts to 178.54
  • AUDUSD trading at 0.7412
  • EURUSD trading at 1.0980
  • GBPUSD trading at 1.2922
  • USDJPY trading at 112.5300

The US major Indexes managed to edge up into positive territory by the end of the session after a day full of news releases. The US House Of Representatives passed the revised Health Care Act which is a big win for the Republican Party which lacked cohesion since taking control of congress and the presidency. There is still an uphill battle to get the Health Care bill through the Senate so any delay could hamper action on Tax Reform. A major drag on the bulls was the hammering of Crude Oil which closed down over 4%. The selloff was attributed to an overhang in US supply, weak data out in China and Technical selling as the commodity struggles. This left the energy sector in tatters to close down 1.9%. Europe found some strength ahead of French elections.

Traders are now eyeing the employment data out in the US tonight to support the US raising interest rates at the next meeting. Traders now see a 74% chance, up from 71%, that the US Fed Reserve will raise rates as the US economy remains solid.

The USD was lower against a basket of currencies. The EURO gained as French candidate Emmanuel Macron consolidated his position to win France’s presidential race against anti-EU candidate Marine Le Pen. The Pound also gained on strong services data while the AUD was slightly lower dragged down by weak commodity prices.

Gold was solidly lower as commodities took a hit. Iron Ore is under pressure as Demand in China is expected to slow and supply increases. Copper was also hit in the process.

The ASX200 is expected to open relatively flat after a negative lead from the the SPI200 futures overnight and ahead of the big data release in the US tonight.

 

ECONOMIC DATA OUT TODAY (AEDT) –

AUD AIG Construction Index 9:30am

AUD RBA Monetary Policy Statement 11:30am

NZD Inflation Expectations 1pm

CAD Employment Change and Unemployment Rate 10:30pm

USD Non-Farm Employment Change and Unemployment Rate 10:30pm

USD FOMC Member Fischer Speaks 1:30am

USD Fed Chair Yellen Speaks 3:30am

 

ASX200 INTRADAY LEVELS TO WATCH