The Morning Jumpstart

OVERNIGHT MARKET SNAPSHOT (7:15am AEST)-

  • SPI200 (Sep) overnight futures up 22 pts to 6188
  • SP500 up 22.80 pts to 2930.75
  • NASDAQ up 78.20 pts to 8028.23
  • FTSE100 up 36.20 pts to 7367.32
  • DAX30 up 107.46 pts to 12326.48
  • GOLD futures (Dec) up $3.60 to $1211.90 an ounce
  • COPPER futures (Comex Dec) up $0.035 to $2.765 a pound
  • OIL futures (Nymex Nov) down $0.58 to $70.19 a barrel
  • CRB Index up 0.94 pts at 192.71
  • AUDUSD trading at 0.7292
  • EURUSD trading at 1.1778
  • GBPUSD trading at 1.3266
  • USDJPY trading at 112.4900

 

The US had a strong session as the DOW finally caught up to the broader SP500 and traded into new all time highs. Bears are left scratching their heads as they continue to look for a correction in a strong market. The trade sensitive DOW finally closed in new highs since the correction that began in January and trade tensions had kept prices down. A weaker USD continued to support export companies which has been buoying trade sensitive stocks. The DOW was up 251.22 pts or 0.95% while the broader SP500 was up 0.78% and the Nasdaq was also up 0.98%. In Europe major Indexes gained as easing trade concerns and hope of a Brexit deal soon, brought in the bulls.

Canada and the US continue to grind out talks on NAFTA with no end in sight as the two parties struggle to come to an agreement on how to settle disputes and other critical issues.

The USD index was again weaker as traders look to take on more risk and see less need for safe havens as US share indexes trade into new highs. The GBP, the EUR and the AUD all managed to gain into the close. GBP traders are still contained as they focus on the EU summit for news on a Brexit deal.

Gold was again slightly higher being supported by weakness in the USD and technical bulls looking to bargain hunt. Copper also found some buying support as trade concerns eased and traders anticipate demand may increase. Oil traded lower into the close of the session as buyers locked in some gains from the previous rally.

Cryptocurrencies had a relatively contained session although Ripple was strong currently trading at $0.39710 up 18.17%. Bitcoin is trading at $6369.5 down 0.34% and Ethereum is at $208.36 down 0.58%.

Locally, the the ASX200 ended the session down 20.5 points to give up some of the previous sessions gains. Financials led the index lower with ANZ leading the charge ending down 0.84%. Higher copper prices helped lift materials stocks which provided some support for the market. Declining stocks outnumbered rising ones by 606 to 556 and 365 ended unchanged. Expecting traders to close the market on a positive note for the week.

The ASX200 is expected to open up 20/25 points as the SPI200 lifts through the US session.

 

ECONOMIC DATA OUT TODAY (AEST) –

JPY  CPI Data 9:30am

JPY  Flash Manufacturing PMI 10:30am

EUR  French Flash Manufacturing and Services PMI 5:15pm

EUR  German Flash Manufacturing and Services PMI 5:30pm

EUR  Flash Manufacturing and Services PMI 6pm

GBP  Public Sector Net Borrowing 6:30pm

CAD  CPI and Retails Sales Data 10:30pm

USD  Flash Manufacturing and Services Data 11:45pm

 

SPI200 INTRADAY LEVELS TO WATCH –