MARKET SNAPSHOT (7:15am AEST)–
- SPI200 overnight futures down 2 pts to 6224
- SP500 down 16.22 pts to 2802.60
- NASDAQ down 107.41 pts to 7630
- FTSE100 down 0.46 pts to 7700.85
- DAX30 down 62.20 pts to 12798.20
- GOLD futures (August) down $2.70 to $1220.30 an ounce
- COPPER futures (Comex Sep) down $0.008 to $2.794 a pound
- OIL futures (Nymex) up $1.38 to $70.07 a barrel
- CRB Index up 1.60 pts to 195.75
- AUDUSD trading at 0.7407
- EURUSD trading at 1.1706
- GBPUSD trading at 1.3134
- USDJPY trading at 111.0400
The US started the week the way it finished last week…lower. The tech heavy Nasdaq led the decline as FAANG stocks suffered on rotation out of the sector and on profit taking. The DOW was down 144.23 points or 0.57% while the broader market SP500 was down 0.58% and the Nasdaq fell 1.39%. US mid term election jitters coupled with continued tariff concerns are seeing traders take some risk off the table. Out of the 270 companies that have posted results on the SP500, 82.6% have beat estimates. In Europe major Indexes were lower as fragile tech stocks came under fire and disappointing earnings stoked selling.
Cryptocurrencies still holding up above 8000, currently trading at $8128.9 down 0.85% while Ethereum is at $453.44 down 2.71% and Ripple at $0.44358 down 2.01%.
The USD Index continued to grind lower ahead of a busy week for central banks. Traders will be watching for monetary updates from Japan as the country fights stubbornly low interest rates. The EUR was higher while the AUD remained unchanged. The GBP was also higher against the Dollar as the BOE is expected to raise rates to 0.75% but faces the prospect of a ‘no deal’ for Brexit which could have serious economic repercussions across multiple industries.
Gold continued lower against the lower bias of the USD for the session. Copper also found mild selling pressure as commodity Indexes rallied while Oil bounced on tighter supply expectations due to US sanctions on Iran.
Locally, Aussie shares were lower as traders looked ahead to earnings and news from major central bank meetings later this week. Traders were happy to lock in some recent gains in an uncertain global environment as markets will start to refocus on tariffs. Financials weighed on the Index as AMP found some buying for a bounce of 4.55% from Fridays capitulation session. Declining stocks outnumbered rising ones by 647 to 545 and 397 ended unchanged.
The ASX200 is expected to open flat as the SPI200 closed the overnight session back where it finished the days trading.
ECONOMIC DATA OUT TODAY (AEST) –
JPY Unemployment Rate 9:30am
CNY Manufacturing PMI and Non-Manufacturing PMI 11am
NZD ANZ Business Confidence 11am
AUD Building Approvals 11:30am
JPY BOJ Outlook Report, Policy Rate and Monetary Policy Statement Tentative
EUR German Retail Sales 4pm
EUR Spanish Flash GDP 5pm
EUR German Unemployment Change 5:55pm
EUR CPI and GDP Data 7pm
CAD GDP 10:30pm
USD Personal Spending and Income, PCE Price Index and Employment Cost Index 10:30pm
USD CB Consumer Confidence 12am
SPI200 INTRADAY LEVELS TO WATCH –
