OVERNIGHT MARKET SNAPSHOT (8:10am AEDT)-
- SPI200 (Sep) overnight futures down 24 pts to 5672
- SP500 closed
- NASDAQ closed
- Dow Jones closed
- FTSE100 down 89.91 pts to 6960.32
- DAX30 down 105.68 pts to 11138.49
- GOLD futures (Dec) unchanged
- COPPER futures (Comex Dec) up $0.0050 to $2.8000 a pound
- OIL futures (Nymex Dec) down $0.78 to $53.85 a barrel
- CRB Index closed
- AUDUSD trading at 0.7255
- EURUSD trading at 1.1405
- GBPUSD trading at 1.2877
- USDJPY trading at 112.9700
The US was closed for the Thanksgiving holiday which meant that our overnight futures were left to take its lead from the European session. Fresh new accusations from the US that China practices ‘unfair’ trade practices has reignited the feud just days ahead of a high stakes meeting between both countries leaders. China rejected the claims and called for the US to stop making provocations. The World Trade Organization (WTO) says that any further escalation in the growing tariff trend will hurt growth and jobs around the world. In Europe shares fell on thin volumes as earnings disappointed and Italian banks fell as their Bonds rallied. Investors have remained on the sidelines and kept risk out of the market as headwinds from Emerging markets, Brexit and slowing economic growth remain concerning.
The USD edged lower overnight helped along by a rally in the EUR which found support after Britain and the EU agreed in principle to their future relationship before a summit on Sunday. The GBP also found some buyers to push price higher while the AUD was weaker as it floundered in a quiet session and found selling on fresh concern over US/China trade.
Gold was closed for the session and was relatively unchanged through the Asian and European sessions. Oil was back down on a delayed response to US inventory data which showed an increase in stockpiles. Copper was unchanged prior to the US closing for Thanksgiving. The metal may continue to see selling pressure until the US and China can come to some sort of arrangement on trade, but with the current banter, this may still take some time.
Cryptocurrencies managed to hold their ground as Bitcoin is currently trading at $4502.6 down 0.57% and Ethereum is at $131.33 down 2.75% while Ripple trades at $0.43814 down 1.25%.
A bit of a turn around for the ASX200 today as buyers pushed the price up from the open to close up 48.5 points at 5691.3. Advancing stocks outnumbered falling ones by 668 to 479 and 364 ended unchanged. Chinese shares were lower in morning trade as China/US trade relations continue to concern traders ahead of the countries meeting next week. We may see further weakness today as traders remain on the sidelines over the weekend.
The ASX200 is expected to open down 25 points as fresh US/China trade tensions push the SPI200 lower overnight.
ECONOMIC DATA OUT TODAY (AEST) –
JPY Flash Manufacturing PMI 11:30am
EUR German Final GDP 6pm
EUR French Flash Manufacturing and Services PMI 7:15pm
EUR German Flash Manufacturing and Services PMI 7:30pm
EUR Flash Manufacturing and Services PMI 8pm
CAD CPI and Retails Sales Data 12:30am
USD Flash Manufacturing and Services PMI 1:45am
SPI200 INTRADAY LEVELS TO WATCH –
