The Morning Jumpstart


  • SPI200 overnight futures unchanged at 6202
  • SP500 up 8.05 pts to 2858.45
  • NASDAQ up 23.99 pts to 7883.66
  • FTSE100 up 54.70 pts to 7718.48
  • DAX30 up 49.98 pts to 12648.19
  • GOLD futures (Dec) up $1.10 to $1218.80 an ounce
  • COPPER futures (Comex Sep) up $0.021 to $2.752 a pound
  • OIL futures (Nymex Sep) up $0.08 to $69.09 a barrel
  • CRB Index up 0.56 pts to 194.49
  • AUDUSD trading at 0.7419
  • EURUSD trading at 1.1599
  • GBPUSD trading at 1.2940
  • USDJPY trading at 111.3800

The US closed higher on an earnings driven surge and also as sentiment was buoyed on a rally in Chinese stocks in the Asian session. The DOW was up 126.73 points or 0.50% with the SP500 up 0.28% and the Nasdaq up 0.31%. Of the 428 companies that have reported on the SP500, 79% have beaten analysts expectations showing incredible profits made up of more than just tax cuts. This will lead traders to focus on the rising interest rate environment and the affects higher debt costs will have on further corporate earnings. In Europe shares were buoyed from a positive Asian session as Oil stocks rallied while a lift in the Euro capped exporters.

Cryptocurrencies continues to push lower as Bitcoin trades at $6725.3 down 3.01% and Ethereum is trading at $372.91 down 8.34%. Ripple was hammered trading at $0.37602 down 11.52%.

The USD edged lower as the Yuan stabilized due to the Chinese central bank raising the cost of shorting the currency. Hopes of a stable Yuan helped to boost the EUR which has become correlated due to trade tensions. The GBP was relatively unchanged at the close as traders await further info on trade deals. The AUD managed to bounce as the Chinese stock market rallied to ease global trade tensions.

Gold closed the session with minor gains as sellers locked in some profits. Copper also bounced on the easing of trade tensions and also as BHP struggle with unions at the Chilean copper mine as they try to avert a strike. Oil continued to push higher as potential sanctions on Iran continue to bring in buyers. Traders will be watching Oil inventories tonight for a drop in stockpiles.

Locally, the ASX200 was down 19.1 points being dragged lower by Miners and Financials while Energy stocks rally. With continued pressure on Iran and buyers into Crude, we expect to see energy continue higher today. BHP and RIO continue to have labour issues at the worlds largest copper mine in Chile. BHP has formally requested government mediation with the union to try to reach a deal with workers. The RBA kept its cash rate on hold at 1.50% as optimism in the economy is being capped by weak wage growth and low inflation.

The ASX200 is expected to open flat as the SPI200 rallied during the European session only to give up the gains once the US opened.



JPY  BOJ Summary of Opinions and Current Account 9:50am

NZD  Inflation Expectations 1pm

AUD  RBA Gov Lowe Speaks 1:05pm

CNY  Trade Balance Tentative

USD  FOMC Member Barkin Speaks 10:45pm

USD  Crude Oil Inventories 12:30am

NZD  Official Cash Rate, RBNZ Rate Statement and Monetary Policy 7am