The Morning Jumpstart


  • SPI200 overnight futures up 18 pts to 6218
  • SP500 up 13.42 pts to 2820.40
  • NASDAQ down 1.10 pts to 7840.77
  • FTSE100 up 53.26 pts to 7709.05
  • DAX30 up 140.82 pts to 12689.39
  • GOLD futures down $1.20 to $1224.40 an ounce
  • COPPER futures (Comex) down $0.057 to $2.803 a pound
  • OIL futures (Nymex) up $0.87 to $68.76 a barrel
  • CRB Index up 0.70 pts to 193.19
  • AUDUSD trading at 0.7420
  • EURUSD trading at 1.1683
  • GBPUSD trading at 1.3146
  • USDJPY trading at 111.1900

The US broader market was stronger overnight although the Nasdaq reversed earlier gains after some great results from Google that beat estimates. The DOW was up 197.65  points or 0.79% while the SP500 was up 0.48% and the Nasdaq lagged finishing down 0.01%. Traders continue to be focused on stronger earnings and company fundamentals rather than a looming trade war although the Nasdaqs reversal from highs suggests that they are also happy to lock in gains. In Europe shares were stronger after positive economic data kept the Euro in a tight range.

China promised fiscal action to support the world’s second-largest economy which pressured the Yuan lower. Beijing’s government bond yields jumped after the cabinet said it would pursue a more vigorous fiscal policy and as traders bet on further easing in monetary conditions.

Cryptocurrencies had a strong night as Bitcoin trades above $8000 at $8248.2 up 6.49% while Ethereum is at $474.94 up 5.46% and Ripple at $0.45332 up 1.98%.

The USD ended the session relatively flat as higher global bond yields kept currencies in check.  The EUR edged lower as slightly weaker than expected economic data gave interest rate bulls no reason to cheer as traders expect no rise in interest rates anytime soon. The GBP was higher while stronger commodities lifted the AUD. The Yen may continue to find support as the Bank of Japan (BOJ) discuss modifying its huge stimulus program.

Gold edged lower as safe haven buyers continued to remain on the sidelines as US company earnings continue to outperform. Copper was higher as labour talks stagnate in Chile’s Escondida copper mine which is the worlds largest. Oil was higher ahead of tonight’s US inventory report.

Locally, shares got of to a strong start and never looked back closing up 0.61%. Advancing stocks outnumbered falling ones by 683 to 513 and 378 ended unchanged. Stronger copper prices supported miners especially BHP. Financials gained on the back higher bond yields to lift long term borrowing costs thanks to speculation that the Bank of Japan is debating measures to scale back stimulus.

The ASX200 is expected to open up around 15/20 points as the SPI200 continued higher through the European and US sessions to add to the strength from the day.



AUD  CPI Data 11:30am

EUR  German Ifo Business Climate and M3 Money Supply 6pm

GBP  High Street Lending 6:30pm

USD  New Home Sales 12am

USD  Crude Oil Inventories 12:30am