The Morning Jumpstart


  • SPI200 (Dec) overnight futures up 23 pts to 6741
  • SP500 up 16.87 pts to 3039.42
  • NASDAQ up 82.87 pts to 8325.98
  • Dow Jones up 132.66 pts to 27,090.72
  • FTSE100 up 6.81 pts to 7331.28
  • DAX30 up 47.20 pts to 12,941.71
  • GOLD futures US Session (December) down $9.80 to $1495.50 an ounce
  • COPPER futures US Session (Comex Dec) up $0.009 to $2.6840 a pound
  • OIL futures US Session (Nymex Dec) down $0.88 to $55.78 a barrel
  • CRB Index down 0.09 pts to 178.28
  • AUDUSD trading at 0.6839
  • EURUSD trading at 1.1100
  • GBPUSD trading at 1.2859
  • USDJPY trading at 108.9700
  • USD Index US Session (ICE Dec) down 0.089 to 97.510

US Stock Indexes had another positive session as the broader market SP500 traded into new all time highs along with the NASDAQ while the DOW lagged but is within striking distance of new levels. It seems that there is no stopping the bulls at this stage as traders look to the Fed Reserve for further stimulus through rate cuts and expectations that earnings will continue to deliver better than expected outlooks. A global slowdown is off the cards for now as Trump built on trade optimism from Friday saying he expected to sign a significant part of the trade deal with China ahead of schedule but again, he did not elaborate on the timing. The path of least resistance is up so traders are happy to march major Indexes into new highs. The DOW closed up 0.49% while the broader SP500 was up 0.56% and the Nasdaq ended up 1.01%. In Europe, Indexes were also buoyed by trade hopes as carmakers and miners led the charge higher. Earnings are performing slightly better than expected but analysts say that it is mainly due to the bar been lowered.

The European Union agreed to a three-month flexible delay to Britain’s departure from the bloc although Boris is still pushing for an election even after UK lawmakers rejected the motion. The move saw flows out of the safety of the USD and back into the Pound and Euro. The move improved the risk sentiment in the region as headwinds for bulls seem to fade into the background.

The USD gave up some of the recent gains as risk appetite increased with major stock Indexes either into or around all time highs. Flows out of the USD as a safe haven buoyed most major currency crosses. The EURO was supported by the fall in the dollar but gains were capped by Brexit again being delayed. The GBP saw a choppy session as price swung between gains and losses although the bulls won out into the close as the dollar fell. The AUD traded higher as trade tensions continue to ease and traders hold out hope for a deal. This meant that sellers stepped aside leaving the buyers to press higher. The USDJPY moved up as safe haven YEN buying disappeared which offset dollar weakness.

Gold gave up a lot of the recent gains as sentiment was positive for a potential deal with Trump continuing to talk up the ‘Phase 1’ deal. Safe haven buyers stepped aside letting price fall back down to trade around the 1500 zone on the futures contract. Crude Oil gave up some of the recent gains as concern over weak Chinese industrial data offset hopes oil demand will rise thanks to a potential trade deal. Copper was higher although seems to be running out of steam up around recent highs at 2.7050 so we expect that buyers may lock away some gains and price pullback before resetting for another leg up.

Cryptocurrencies edged lower to give up some of the recent gains although price on most pairs looks to be coiling up and building for a new leg up. Bitcoin is currently trading at $9378.3 down 3.72% while Ethereum is at $182.56 down 2.35% and Ripple is trading at $0.29627 down 0.71%.

The ASX200 got off to a good start yesterday but could not hold on to the gains and faded into the close. In the end the index ended up 1.5 points to 6740.7 after opening and trading up 26 points. The Resources, Metals and Mining, Materials and Energy sectors performed the best while Consumer Staples was the main drag on the action. Falling stocks outnumbered advancing ones by 580 to 566 and 366 ended unchanged.

The ASX200 is expected to open up 25 points as the SPI200 reversed the day sessions weakness to move higher in the European and US sessions. We expect to see a test of recent highs as the action continues to be strong and bulls remain in charge.


GBP Parliament Brexit Vote Tentative

JPY Tokyo Core CPI 10:30am

AUD RBA Gov Lowe Speaks 5:45pm

USD Consumer Confidence 1am