January 14, 2019
OVERNIGHT MARKET SNAPSHOT
The US opened weaker but buyers managed to fight back and rally the index into the close to finish flat for Fridays session. The major indexes have had a positive start to the year helped by the Fed Reserves stance on interest rates being more patient and progress in talks between the US and China. With banks kicking off earnings this week, traders will focus their attention now on company reporting and projections for signs of a slowdown in growth. The DOW was down 0.02%, while the broader SP500 was down 0.01% and the Nasdaq also closed down 0.21%. In Europe Indexes were cautious as they edged lower. Traders are awaiting further news on what was agreed between the US and China and were also positioning for the US earnings.
US Bond yields fell on safe haven buying as traders remain tentative after an earlier data release showed consumer prices fell for the first time in nine months. Traders also started the session booking some gains into shares ahead of earnings which helped the rally in bonds.
The USD rallied as selling into the Euro triggered buying across the board into the Dollar. The EUR hit key technical resistance levels where selling was triggered and led a fall in the currency pair. The GBP and the AUD both benefited from USD weakness while the USDJPY was unchanged from the previous session.
Gold edged higher as the dollar fell while Oil was down as gains from its New Year rally were locked away as price is stretched into key resistance around $54 a barrel. Copper bounced back from the previous sessions weakness being supported by the dollar.
Cryptocurrencies were lower even as talk of a 2019 bitcoin rally filters through the market. Bitcoin is currently trading at $3497.9 down 3.09% while Ethereum is at $114.69 down 8.08% and Ripple is at $0.31315 down 4.17%.
The ASX200 closed down 20.7 points on Friday to give up earlier gains from the open. Financials and mining stocks dragged the index lower as Energy posted a solid week being the best since 2016. Declining stocks outnumbered rising ones by 558 to 514 and 355 ended unchanged.
The ASX200 is expected to open up 15 points as the SPI200 was pushed higher in the overnight session following the US Indexes up into the close.
ECONOMIC DATA OUT TODAY (AEDT)J
AUD MI Inflation Gauge 11am
CNY Trade Balance Tentative
EUR Industrial Production 9pm
SPI200 INTRADAY LEVELS TO WATCH
You may also like these. If not, just go back to the overview:Overview