Tuesday: 1st August 2017
Each Market In Focus
The Australian market looks set to open flat, ahead of the Reserve Bank of Australia’s interest rate announcement, after the Dow hit a record high but selling in the tech giants pulled the Nasdaq down.
At 7.00 AEST on Tuesday, the share price futures index was down one point, or 0.02 percent, at 5,660.
Locally, in economic news on Tuesday, the Reserve Bank of Australia releases its interest rate decision, and the ANZ-Roy Morgan Consumer Confidence weekly survey is due out.
In equities, Seven West Media is expected to release full-year results while Hutchison Telecommunications (Australia) is slated to post half-year results.
And, Macquarie Group chief executive Nicholas Moore is slated to speak at an Australia-Israel Chamber of Commerce lunch in Sydney.
The Australian market on Monday closed higher, led by mining and energy stocks, as investors took confidence from offshore markets ahead of the start of the local reporting season.
The benchmark S&P/ASX200 index rose 17.8 points, or 0.31 per cent, to 5,720.6 points
The broader All Ordinaries index finished up 18.7 points, or 0.32 per cent, at 5,773.9 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
- The Dow Jones Industrial Average has hit a record closing high, helped by Boeing, while selling in Facebook, Alphabet and other technology companies checked the S&P 500 and pulled the Nasdaq lower.
- The S&P 500 information technology dipped 0.5 per cent on Monday, with Facebook falling 1.9 per cent and Alphabet, Google’s parent company, down 1.3 per cent.
- Boeing rose 0.5 per cent and hit a record high of $US242.46 after JPMorgan raised its price target on the world’s biggest plane maker to $US280 per share.
- The market reacted little to news that US President Donald Trump’s communications director, Anthony Scaramucci, was leaving the job after little over a week, the latest staff upheaval to hit the Republican’s six-month-old presidency.
- The Dow Jones Industrial Average rose 0.28 per cent to end at 21,891.12 points
- The S&P 500 was hardly changed, down just 0.07 per cent to 2,470.3
- The Nasdaq Composite dropped 0.42 per cent to 6,348.12.
- In July, the S&P 500 rose 1.9 per cent, the Dow added 2.5 per cent and the Nasdaq gained 3.4 per cent.
- Gold ended slightly lower after reaching a seven-week high.
The spot price of gold in Sydney at 7.00 AEST was $US1,269.00 per fine ounce, from $US 1,267.84 per fine ounce on Monday.
IRON ORE: $71.52 +4.03 ( September contract )
Oil prices turned higher late Monday afternoon to settle above $50 a barrel for the first time in more than two months.
U.S. crude futures rose 46 cents, or 0.93%, to settle at $50.17 a barrel on the New York Mercantile Exchange.
Brent, the global benchmark, rose 13 cents, or 0.25%, to $52.65 a barrel on ICE Futures Europe.
U.S. crude futures gained nearly 9% in July for their largest monthly percentage gain since April 2016.
Rapidly declining supplies of oil in U.S. storage tanks and Saudi Arabia’s commitment to limit its exports helped convince many traders and investors that the supply glut that has weighed on the market for three years is waning.
Monday’s move is the latest sign of renewed confidence in the oil market.
- The Euro extended its recent gains, rising against the dollar on Monday to book the best monthly gain in more than a year and hitting the highest level since January 2015.
- The euro reversed earlier losses to trade higher at $1.1834, after headline inflation in the eurozone held steady in July at a 1.3% rate.
- The shared currency traded above the psychologically important $1.18 level for the first time since January 2015. The euro has gained 3.5% over the month and is up 12.4% year to date.
- The U.S. dollar weakened against most major rivals on Monday, with the trade-weighted index falling to a 15-month low, wrapping up one of the worst monthly performances since early 2016.
- The Australian dollar has crept higher against its US counterpart, hitting 80 US cents, as the US dollar slides around, most other major currencies tread water but commodity currencies slip.
- At 7.00 AEST on Tuesday, the Australian dollar was worth 80.00 US cents, up from 79.80 US cents on Monday.
Weakness among tobacco stocks and some broker downgrades weighed on European shares, sending them lower on the final trading day of July as analysts dissected what was beginning to look like an “underwhelming” earnings season.
The pan-European STOXX 600 index was down 0.1 per cent while euro zone stocks and blue chips fell 0.3 to 0.4 per cent.
Britain’s commodity-heavy FTSE 100 index held on to a 0.05 per cent gain to close at 7,372.00
France’s CAC 40 underperformed, hitting its lowest in three months at 5,093.77
Germany’s DAX lost 0.4 per cent to close at 12,118.25.
Stocks retreated as financials became a drag on the main European indexes. HSBC ended 1.9 per cent higher, however, after posting a forecast-beating 5 per cent rise in first half pretax profit and announced its third buyback in a year.
- Asian shares turned mostly positive on Monday, shrugging off a new North Korean missile test as investors turned their attention to a raft of global economic data and earnings this week.
- MSCI’s broadest index of Asia-Pacific shares outside Japan reversed early losses to rise 0.25 per cent.
- But Tokyo’s Nikkei 225 lost 0.2 per cent to close at 19,925.18.
- Hong Kong stocks closed at a 25-month high on Monday after completing a seventh-straight month of gains, powered by strength in dual-listed resource firms which forecast rises in first-half earnings.
- The Hang Seng index rose 1.3 per cent, to 27,323.99, while the China Enterprises Index gained 0.7 per cent, to 10,827.84 points.
- For the month, HSI was up 6.1 per cent, while HSCE gained 4.5 per cent. China stocks extended gains, as investors piled into resource firms which forecast jumps in first-half earnings, reinforcing a rotation into blue chips that feature solid growth and fundamentals.
- The blue-chip CSI300 index rose 0.4 per cent, to 3,737.87, while the Shanghai Composite Index added 0.6 per cent to 3,273.03 points, its highest since mid-April.
- For the month, CSI300 advanced 2.0 per cent, while SSEC gained 2.5 per cent.
- The S&P/NZX 50 Index rose 0.7 per cent to 7693.99.
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