The Morning Jumpstart


  • SPI200 (Jun) overnight futures up 3 pts to 6544
  • SP500 up 2.69 pts to 2889.67
  • NASDAQ up 48.36 pts to 7845.02
  • Dow Jones up 22.92 pts to 26,112.53
  • FTSE100 up 11.53 pts to 7357.31
  • DAX30 down 10.58 pts to 12,085.82
  • GOLD futures US Session (August) down $1.10 to $1343.40 an ounce
  • COPPER futures US Session (Comex July) up $0.0190 to $2.6490 a pound
  • OIL futures US Session (Nymex July) down $0.59 to $51.92 a barrel
  • CRB Index down 0.39 pts to 174.42
  • AUDUSD trading at 0.6853
  • EURUSD trading at 1.1218
  • GBPUSD trading at 1.2533
  • USDJPY trading at 108.5300

In the US, stocks made back some lost ground to end the session higher. Traders continue to be in a holding pattern until further interest rate news from the US Fed Reserve where they are expected to resist the pressure for a cut this month but lay the groundwork for a cut in July. All eyes will be on the wording from the Fed in the rate statement to see if they drop the ‘patient’ stance. The DOW closed up 0.09% while the broader SP500 was up 0.09% and the Nasdaq ended up 0.62%. In Europe, major Indexes were mixed with the FTSE slightly higher and DAX lower. The lack of volatility had traders on the sidelines awaiting further direction on rates.

US companies told a hearing in Washington that they have few alternatives to China for production of particular goods. At the hearing, they said sourcing from other countries will raise costs, and in many cases, more than the tariffs. This is at odds with Trumps cabinet who said that tariffs will accelerate a move of manufacturing out of China.

The USD Index was relatively unchanged as price dipped early and then made back lost ground during the session to consolidate into the close. The Euro was slightly higher than the previous close although could not get a lot of traction from buyers as traders held off on adding size to the market ahead of US rates later in the week. The GBP moved lower to continue its downward trajectory ahead of the Bank of Englands interest rate decision Thursday where no changes are expected until Brexit negotiations have finished. The AUD came under pressure at the start of the US session as the USD rallied. The move from sellers push price through lows around 0.6860 with the next potential buy zone coming in around the 0.6800 even level. The USDJPY ended around the same levels as the previous US close although sellers held minor lower highs into the close.

Gold was relatively contained with an initial selloff through Asian and European trade being reversed into the US open. Aussie gold fared a lot better as the AUDUSD pushed lower to support price. Oil moved lower as traders once again focused on global demand as trade wars continue on all fronts with no near term end in sight. Copper had a better night to rally strong off the lows to end the metal in positive territory. Price may be starting to hold a base in anticipation of positive trade news.

Cryptocurrencies powered higher again with Bitcoin currently trading at $9243.3 up 3.28% while Ethereum is trading at $271.83 up 1.88% and Ripple is the biggest gainer at $0.45219 up 6.62%.

The ASX200 opened weaker yesterday, then managed a rally in the afternoon only to give up the gains into the close. In the end the Index closed down 23.1 points to 6530.9. Telecom Services were the biggest loosing sector followed by Resources and Metals and Mining. Asian stocks were mixed with Hong Kong stocks trading in the green after mass protests forced an apology from the city’s chief executive. Falling stocks outnumbered advancing ones by 692 to 510 and 421 ended unchanged.

The ASX200 is expected to open up 5 points but may see the action drift lower again into the close.


AUD Monetary Policy Meeting Minutes and HPI 11:30am

EUR ECB President Draghi Speaks 6pm

EUR German ZEW Economic Sentiment, CPI Data and Trade Balance 7pm

CAD Manufacturing Sales 10:30pm

USD Building Permits and Housing Starts 10:30pm

GBP BOE Gov Carney Speaks 12am