The Morning Jumpstart


  • SPI200 (Sep) overnight futures down 3 pts to 5829
  • SP500 down 1.51 pts to 2724.71
  • NASDAQ up 0.01 pts to 7200.88
  • Dow Jones down 100.69 pts to 25,286.49
  • FTSE100 up 0.68 pts to 7053.76
  • DAX30 up 146.78 pts to 11472.22
  • GOLD futures (Dec) down $1.40 to $1202.10 an ounce
  • COPPER futures (Comex Dec) down $0.0040 to $2.6830 a pound
  • OIL futures (Nymex Dec) down $4.86 to $55.07 a barrel
  • CRB Index down 3.45 pts at 184.54
  • AUDUSD trading at 0.7211
  • EURUSD trading at 1.1285
  • GBPUSD trading at 1.2957
  • USDJPY trading at 113.7700


The US could not hold onto any gains overnight as an initial rally early in the session was deflated with selling into the close. Traders were buoyed on renewed hope for progress in trade talk between the US and China. Energy shares came under fire as crude oil went into free fall mode and pushed below long term support levels. US Bond yields were lower as inflationary pressures ease thanks to a drop in Oil and as traders see the asset as a safe haven against further stock market turmoil. The DOW was again down 0.40% while the broader SP500 fared better down 0.06% and the Nasdaq was flat. In Europe shares had a positive night being supported by a draft Brexit deal between Britain and the EU after more than a year of negotiations. The trick now is for Prime Minister May to get the deal through Parliament.

The US Treasury said that the federal government ran a $100 billion deficit in October with Federal spending at $353 Billion and receipts at $253 Billion.

The USD gave up some of the previous sessions gains as bond yields fell. USD based crosses found support from the weakness in the dollar with the EUR, the AUD and the GBP all rallying to close higher for the session.

Gold held onto the previous sessions losses to trade around the $1200 level as sellers remain confident of a continued move lower. Oil was battered overnight to slam down through support around 58.00 a barrel. The selling was mostly technically driven as sell stops were hit as traders are still battling with weakening demand, oversupply and a risk off tone in other asset classes. Copper had a good open to the US session on a positive trade outlook although gave up gains into the close. Traders will now be focused on further trade talk news and low physical supplies to give the metal a boost.

Cryptocurrencies were slightly weaker overnight with Bitcoin currently trading around $6438.6 down 0.10%, Ethereum trading at $209.96 down 1.21% and Ripple at $0.51534 down 2.64%.

Locally, the ASX200 opened weaker and never recovered to close the session down 107.1 points to 5834.2. Nothing was safe as declining stocks outnumbered rising ones by 861 to 293 and 307 ended unchanged. Banks were all lower across the board with commodity stocks bearing the brunt of the selloff. Asia fared better to recoup some of their losses as media reports said that China’s top trade negotiator was preparing to visit the US in a bid to ease trade tensions.

The ASX200 is expected to open flat to down 5 points as the SPI200 holds support overnight. Energy shares will come under pressure today as traders remain cautious although potential progress on trade between the US and China may bring in some buying support for the Index.



AUD  Westpac Consumer Sentiment 10:30am

JPY  Prelim GDP Data 10:50am

AUD  Wage Price Index 11:30am

CNY  Fixed Asset Investment, Industrial Production, Unemployment Rate and Retail Sales 1pm

EUR  German Prelim GDP Data 6pm

GBP  CPI and PPI data 8:30pm

EUR  Flash GDP 9pm

USD  CPI Data 12:30am

USD  FOMC Member Quarles Speaks 2am