The Morning Jumpstart


  • SPI200 overnight futures up 1 pts to 6138
  • SP500 up 5.45 pts to 2877.13
  • NASDAQ up 21.62 pts to 7924.16
  • FTSE100 up 1.60 pts to 7279.30
  • DAX30 up 26.71 pts to 11986.34
  • GOLD futures (Dec) up $0.60 to $1201.00 an ounce
  • COPPER futures (Comex Dec) up $0.004 to $2.627 a pound
  • OIL futures (Nymex Oct) down $0.23 to $67.52 a barrel
  • CRB Index up 0.66 pts at 191.02
  • AUDUSD trading at 0.7114
  • EURUSD trading at 1.1596
  • GBPUSD trading at 1.3027
  • USDJPY trading at 111.1000


The US had a mixed session as the DOW was lower while the broader SP500 managed to finish the session in the green. Beijing had warned of retaliation if Washington launched any new trade measures but may not have the fire power to match the US tariffs so will have to resort to other measures. Further headwinds from Italian debt may be averted as radical budget plans reassure investors that EU regulations will be respected. The DOW was down 59.47 pts or 0.23% while the broader SP500 was up 0.19% and the Nasdaq also up 0.27%. In Europe shares were higher being buoyed by a potential Brexit deal and as Italian shares rallied.

The USD was lower to give up some gains being pressured by a ‘risk on’ trade into the EUR and GBP and out of the safe haven USD. Buyers net longs on the USD fell to a five week low. The EUR and the GBP gained ground after the EU’s top negotiator said that an agreement for Brexit may be reached in coming weeks. The AUD also managed to edge higher on USD weakness.

Emerging market currencies continued to come under pressure as US dollar denominated debt and high current-account deficits will be pressured as the servicing costs will increase with rising interest rates.

Gold inched higher as the precious metal became cheaper for non-US buyers on a fall in the USD. Net sellers on gold show the expectations for higher US interest rates and the lean towards US bonds for returns as apposed to non-yielding Gold. Copper also managed to edge higher although the metal is well and truly constrained by China/US trade tensions. Oil gave up some recent gains to finish lower overnight.

Cryptocurrencies were lower overnight with Bitcoin trading at $6313.4 down 0.92%, Ethereum trading at $193.69 down 1.38% and Ripple at $0.26637 down 5.64%.

Locally, buyers again picked price up off intraday lows to rally the ASX200 higher and close the session flat. Opportunistic buyers looked to pick up some bargains after a 200 point fall off the highs over the last few days. Miners continued to be dragged lower by tariff concern and on the belief that the trade war will escalate which will not be good for commodities and demand. Declining stocks outnumbered rising ones by 643 to 558 and 362 ended unchanged. Financials were also under pressure as attention now turns to conduct in the insurance sector.

The ASX200 is expected to open flat after a quiet range bound session for the SPI200 overnight.



AUD  NAB Business Confidence 11:30am

GBP  Average Earnings Index, Claimant Count and Unemployment Rate 6:30pm

EUR  German ZEW Economic Sentiment and Employment Change 7pm

USD  Final Wholesale Inventories 12am