Friday: 16th July 2017
Each Market In Focus
- The Australian market looks set to open higher, ignoring the negative lead of Wall Street where the technology stocks slump has worsened, and major international bourses fell virtually across the board.
- At 7.00 AEST on Friday, the share price futures index was up 19 points, or 0.33 per cent, at 5,723.
- Locally, no major economic or equities news is expected. However, Atlassian co-founder Mike Cannon-Brookes is expected to speak about personal and big business issues at Ted X Sydney.
- The Australian market on Thursday broke a short-lived bout of strong gains, with a weak energy sector dragging and would-be profit-takers losing interest.
- The benchmark S&P/ASX200 index lost 70.7 points, or 1.21 per cent, to 5,763.2 points.
- The broader All Ordinaries index fell 65.5 points, or 1.12 per cent, to 5,796.7 points.
60 Day Low. This is a list of codes that made a new 60 day LOW in the past 2 days. We use the 60 day low as this would infer that a breakdown in price has occurred after a period of consolidation OR the stock is declining each day if the code shows repeatedly. ( source Metastock)
Scans Powered by Metastock. Click here for more information
- A recent slump in technology stocks has worsened, dragging on major US indexes, while investors fret about the economy’s health after the Federal Reserve lifted interest rates.
- The S&P technology sector fell 0.5 per cent on Thursday, continuing a slide that began last Friday. The sector cut steeper losses from earlier in the session, as did the benchmark S&P 500.
- Apple shares ended down 0.6 per cent while Google parent Alphabet dropped 0.8 per cent after separate bearish analysts’ reports on the two tech heavyweights.
- The consumer discretionary sector dropped 0.5 per cent, as Amazon.com shares closed down 1.3 per cent. Nike fell 3.2 per cent after the company said it would cut about two per cent of its global workforce and eliminate a quarter of its shoe styles.
- The Dow Jones Industrial Average fell 0.07 per cent to 21,359.9, the S&P 500 lost 0.22 per cent to 2,432.46 and the Nasdaq Composite dropped 0.47 per cent to 6,165.50.
Gold prices dropped to a three-week low, as the dollar continued to appreciate after the Federal Reserve’s Wednesday decision to raise interest rates.
Gold for August delivery settled down 1.7% at $1,254.60 a troy ounce on the Comex division of the New York Mercantile Exchange, closing at the lowest level since May 24 in the biggest one-day drop since December.
- IRON ORE: $54.61 +0.86 ( July contract )
- Oil prices slipped again, guided lower for a second-straight session by an unexpected increase in gasoline stockpiles.
- Light, sweet crude for July settled down 27 cents, or 0.6%, at $44.46 a barrel on the New York Mercantile Exchange. It is the lowest settlement since Nov. 14.
- The losses extended a selloff that started Wednesday when crude tanked by nearly 4% after the U.S. Energy Information Administration reported gasoline inventories rose by 2.1 million barrels last week.
- The U.S. dollar rallied intraday after the Federal Reserve indicated weak U.S. data won’t derail its plans for raising interest rates.
- The WSJ Dollar Index, which measures the U.S. currency against 16 others, rose 0.5% to 88.54.
- The U.S. dollar has jumped since the Fed offered an upbeat message on the U.S. economy at the close of its latest policy meeting on Wednesday.
- The central bank raised interest rates by a quarter percentage point and stuck to its projection for one more rate increase this year despite a recent slowdown in inflation.
The Australian dollar has fallen sharply against its US counterpart and is back below 76 US cents after leaping on Thursday to a two-month high.
At 7.00 a.m. AEST on Friday, the Australian dollar was worth 75.82 US cents, down from 76.08 US cents on Thursday.
European shares fell on Thursday as sagging oil prices hit basic resources stocks, while retailers slipped after H&M missed expectations and UK data showed consumers are feeling the impact of rising inflation.
Crude prices wallowed near a six-week low as doubts grew over OPEC’s ability to cut oil supplies, weighing on stocks worldwide and adding to worries over the resilience of sectors most geared to economic growth.
The pan-European STOXX 600 benchmark fell to its lowest since April 24 before paring some losses and ended down 0.4 per cent.
Basic resource stocks fell 1.7 per cent while energy stocks fell 0.6 per cent.
Europe’s retail index fell 2.2 per cent, the biggest sectoral faller in Europe, and Britain’s mid-caps suffered their sharpest drop this year, as investors grew more skittish about the resilience of consumer spending in Britain, where inflation is climbing due largely to a weak pound.
Germany’s DAX lost 0.89 per cent to 12,691.81.
The blue-chip FTSE 100 index fell to its lowest level in nearly a month, down 0.74 per cent to 7,419.36.
- Asian shares slid, hit by soft US economic data, a relatively hawkish Fed and a media report that US president Donald Trump is being investigated by a special counsel for possible obstruction of justice.
- MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 0.7 per cent while Japan’s Nikkei fell 0.26 per cent to close at 19,831.82.
- Hong Kong stocks fell to a three-week low, led by the property sector, as borrowing costs in the city looked set to rise after a US interest rate rise.
- Hong Kong’s central bank raised its base rate 25 basis points earlier in the day after the US Federal Reserve lifted its policy rate as expected overnight. Hong Kong rates move in line with the US due to the city’s currency peg.
- The Hang Seng index fell 1.2 per cent, to 25,565.34, while the China Enterprises Index lost 1.6 per cent, to 10,346.15 points.
- China stocks were little changed on persistent fears that policy tightening measures will soon start to weigh on the country’s economic growth, despite largely resilient data reported the previous day.
- The blue-chip CSI300 index fell 0.18 per cent, to 3,528.79 points, while the Shanghai Composite Index added 0.06 per cent to 3,132.49 points.
- The S&P/NZX 50 index increased 0.4 per cent to 7516.35
Important News Events For Today
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