Tuesday: 13th June 2017
Each Market In Focus
The Australian market looks set to open lower following Wall Street’s lead where Apple shares have fallen, adding to the tech stocks slide of last week.
At 8.00 a.m. AEST on Tuesday, the share price futures index was down 15 points, or 0.25 per cent, at 5,675.
Locally, in economic news on Tuesday, the Australian Bureau of Statistics releases overseas arrivals and departures figures for April.
The National Australia Bank’s monthly business survey for May is expected, as is the CoreLogic capital city house prices for the week just ended.
In equities news, Ten Network Holdings is expected to make a statement to the ASX to update investors over its finance after three key backers decided not to support a new funding deal.
The free-to-air broadcaster needs to refinance a $200 million loan or face the prospect of voluntary administration if it cannot secure the funds.
The Australian market on Friday, ended slightly higher, buoyed by mining stocks, while the poor showing for the ruling Conservative Party in the UK election has given the Aussie dollar a boost against the pound sterling.
The benchmark S&P/ASX200 index up 1.2 points, or 0.02 per cent, at 5,677.8 points, while the broader All Ordinaries index up 0.7 points, or 0.01 per cent, to 5,715.5 points.
60 Day High. This is a list of codes that made a new 60 day High in the past 2 days. We use the 60 day high as this would infer that a breakout in price has occurred after a period of consolidation OR the stock is moving up each day if the code shows repeatedly. ( source MetaStock )
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
- Apple shares have added to last week’s drop to lead a US markets downturn as tech, still the best performing S&P 500 sector this year, succumbed under its own weight.
- The S&P technology sector fell 0.8 per cent after dropping 2.7 per cent Friday for its largest two-day decline in nearly a year.
- The tech-heavy Nasdaq Composite underperformed the S&P 500 as the ongoing rout in the sector sparked a search for value elsewhere.
- The Dow Jones Industrial Average fell 0.17 per cent to 21,235.67, the S&P 500 lost 0.10 per cent to 2,429.39 and the Nasdaq Composite dropped 0.52 per cent to 6,175.47.
- Gold prices ended lower Monday, stretching their streak of declines to a fourth session as this week’s focus now turns squarely on the Federal Reserve. August gold fell $2.50, or 0.2%, at $1,268.90 an ounce.
- The settlement handed the contract its fourth-straight drop, the longest string of losses since the nine-session period ended March 10.
- July copper lost 3.4 cents, or 1.3%, to $2.616 a pound.
- IRON ORE: $54.41 +0.47 ( July contract )
- Oil prices gained on Monday following last week’s drop of nearly 4% as traders look ahead to the weekly update on U.S. petroleum supplies, as well as monthly reports on U.S. shale crude production and global output figures from OPEC and the International Energy Agency due out this week.
- July West Texas Intermediate crude tacked on 61 cents, or 13%, to $46.44 a barrel on the New York Mercantile Exchange. August Brent crude, the global oil benchmark, rose 71 cents, or 1.5%, to $48.86 a barrel on the ICE Futures Europe exchange.
- The U.S. dollar edged lower Monday as investors await central-bank meetings later in the week.
- The WSJ Dollar Index, which measures the U.S. currency against 16 others, slipped 0.1% to 88.42. The dollar fell against the euro and Japanese yen. but rose against the British pound.
- The key event for investors this week will be the Federal Reserve’s two-day policy meeting, which concludes with a press conference on Wednesday. The central bank is widely expected to raise U.S. interest rates for the second time this year, but investors will be parsing the Fed’s tone for clues on its future plans for interest-rate increases.
- The Bank of England, Bank of Japan and Swiss National Bank also hold policy meetings this week.
- Meanwhile, the pound continued to slide after last week’s unexpected U.K. election outcome roiled the currency. Sterling lost 0.5% to $1.2671. On Friday, the pound posted its biggest daily loss in eight months after British Prime Minister Theresa May’s Conservative Party unexpectedly lost its majority in Parliament.
- The Australian dollar is fractionally higher against its US counterpart, treading water ahead of the Federal Reserve’s monetary policy and interest rate decision.
- The local currency was trading at 75.41 US cents at 0700 AEST on Tuesday, from 75.39 on Monday.
- European stocks were hit on Monday by big falls in Apple suppliers and other tech shares, overshadowing well-received election results in France and Italy.
- Shares in chipmakers STMicro , Dialog and AMS all fell between 6.7 per cent to 9.2 per cent following heavy losses in US and Asian peers.
- Apple’s worst drop in 14 months on Wall Street on Friday sparked a bout of profit-taking across richly valued tech stocks that have soared to record highs. Europe’s tech index fell 3.6 per cent, leading sectoral losers in Europe and posting its biggest one-day loss since the post Brexit sell-off in June last year.
- The pan-European index STOXX 600 closed 1 per cent lower, having hit its lowest level in seven weeks earlier in the session.
- Britain’s FTSE 100 closed down 0.2 per cent, with investors dumping tech and other cyclical stocks, which feature heavily on the blue-chip index, and heading into defensive sectors.
Asian stocks fell, with electronics heavyweights such as Samsung Electronics knocked lower by the slide in US tech shares and caution ahead of this week’s US Federal Reserve policy meeting.
MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.8 per cent, with the tech index sliding 1.5 per cent.
Asia’s tech giants followed the US lead with South Korea’s Samsung Electronics losing 1.8 per cent, Taiwan Semiconductor Manufacturing Co down 1.6 per cent and Japan’s Sharp Corp shedding 2.7 per cent.
Japan’s Nikkei was down 0.6 per cent and South Korea’s KOSPI slid 1.2 per cent.
Hong Kong’s Hang Seng lost 1.3 per cent while Shanghai fell 0.5 per cent.
Hong Kong stocks fell the most in nearly two months hit by the slump in tech shares and worries that tighter credit in China could slow growth in the world’s second-biggest economy.
The Hang Seng index fell 1.2 per cent, to 25,708.04, while the China Enterprises Index lost 1.0 per cent, to 10,485.85 points.
China stocks were also hurt by the tech sell-off concern that tighter credit will drag on corporate profitability and economic growth in coming months.
The blue-chip CSI300 index ended little changed at 3,574.39 points, while the Shanghai Composite Index lost 0.6 per cent to 3,139.88.
The S&P/NZX 50 Index fell 0.045 per cent to 7432.74.
Important News Events For Today
“Once you replace negative thoughts with positive ones, you’ll start having positive results.” – Willie Nelson
*Now you know everything.*