Monday: 6th February 2017
Each Market In Focus
The Australian market looks set to open higher following on the positive trend from US stocks in Wall Street’s last session.
At 8.00 a.m. AEDT on Monday, the share price futures index was up 24 points at 5,596.
US stocks, with the financial sector boosting the S&P500’s gains as President Donald Trump moves ahead with deregulation action, and a strong payrolls report.
The S&P financial sector jumped two per cent to score its best day since mid-November after Trump signed an executive order to scale back regulations in the industry that were implemented in the wake of the financial crisis.
Locally, in economic news on Monday, the Australian Bureau of Statistics releases December’s retail trade data.
And, CoreLogic releases its capital city house price index for the week just ended.
In equities news, National Australia Bank is expected to release its third-quarter trading update.
AUS National Australia Bank Q1 2017 Trading statement (NAB.AU)
AUS Jan Melbourne Institute Monthly Inflation Gauge
AUS Dec Retail Trade
AUS Jan ANZ Job Ads
N/A NZ New Zealand: Waitangi Day. Financial markets closed
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. The filter uses an above 50 cent price filter, and the codes in Blue are on our watch list. ( source Metastock)
- The potential for regulatory rollbacks injected new enthusiasm for financial stocks, sending major indexes higher Friday.
- The Dow Jones Industrial Average rose 187 points, or 0.9%, to 20071, its biggest one-day gain in nearly two months.
- The S&P 500 climbed 0.7%, while the Nasdaq Composite gained 0.5%.
- Both indexes endedthe week in positive territory, while the Dow fell slightly.
- After rallying into the end of 2016, the blue-chip index’s gains have stalled in recent weeks as hopes for increased government spending, corporate tax cuts and loosened regulation waned.
- Copper prices fell after China’s central bank moved to tighten monetary policy, curbing demand for commodities.
- Copper for March delivery closed down 2.6% at $2.6160 a pound on the Comex division of the New York Mercantile Exchange.
- Gold prices reversed losses, as data from the U.S. employment report convinced someinvestors the Federal Reserve was less likely to lift rates next month.
- Gold for April delivery closed up 0.1% at $1,220.80 a troy ounce on the Comex division of the New York Mercantile Exchange.
- Prices stood at around $1,213 a troy ounce before the numbers were released.
- IRON ORE: $80.15 -3.67 ( February contract )
Oil prices closed higher on Friday, as investors hoped that the output cuts by major producers would continue to chip away at global oversupply.
Light, sweet crude for March delivery settled up 29 cents, or 0.5%, at $53.83 a barrel on the New York Mercantile Exchange.
Brent, the global benchmark, rose 25 cents, or 0.4%, at $56.81 a barrel.
The U.S. dollar slipped after the Labor Department’s January jobs report showed strong hiring but tepid wage growth.
The WSJ Dollar Index, measuring the U.S. currency against 16 others, fell 0.2% at 90.36.
The index had been up about 0.2% before the jobs data.
The Australian dollar is higher against its US counterpart which has slipped amid chopping trading following a smaller-than-expected rise in US wages in January.
At 7.00 a.m. AEDT on Monday, the Australian dollar was worth 76.81 US cents, up from 76,50 US cents on Friday.
- Stocks in Europe gained Friday, with banks rising on the prospect that President Donald Trump will loosen U.S. regulations on the financial industry.
- The Stoxx Europe 600 index gained 0.6% to close at 364.07, trimming its weekly loss to 0.6%. Friday’s jump also took the index to its highest close since Jan. 27.
- The financial sector was putting in the best performance Friday, with the Stoxx 600 Bank Index rising 1.3%.
- The moves came after reports Trump on Friday plans to sign an executive action to scale back the 2010 Dodd-Frank financial-overhaul law, as part of a push to dismantle much of the regulatory system put in place after the financial crisis.
- Shares of Deutsche Bank advanced 3.6%, winning back a portion of Thursday’s loss.
- The German lending heavyweight’s shares fell 5.2% in the previous session after it posted a worse-than-expected fourth-quarter net loss of 1.9 billion euros ($2.05 billion).
- Shares of Royal Bank of Scotland picked up 2.7%, France’s BNP Paribas tacked on 1.5%, and Credit Suisse Group climbed 1.8%.
- But Banco Popular Español shares were dragged down 7.4% after the Spanish lender swung to a yearly loss of €3.5 billion ($3.75 billion), hurt by bad loans and higher provisions.
- The Shanghai Composite Index fell 0.6% Friday as stock trading resumed in China following the Lunar New Year Holiday.
- Data also showed a slowdown in Chinese manufacturing growth last month, weighing on shares.
- Hong Kong’s Hang Seng dipped 0.2%
- Japan’s Nikkei Stock Average ended flat.
Important News Events For Today
Having a positive mental attitude is asking how something can be done rather than saying it can’t be done. – Bo Bennett
*Now you know everything.*