Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.
Market Opener – 28 Feb 2019
Local Markets Commentary
The Australian market commences last-day-of-the-month trade ahead of influential domestic, regional, US and euro zone data today and tonight.
Regionally today, China’s February PMIs, as provided by the National Bureau of Statistics, are anticipated midday AEDT.
Japan is due to report January industrial production and retail sales 10.50am AEDT.
Locally today, the Australian Bureau of Statistics (ABS) publishes December quarter private new capital spending plus future spending plans, 11.30am AEDT.
The Reserve Bank of Australia (RBA) reports January financial aggregates, which include private sector credit, also 11.30am.
A barrage of earnings reports is anticipated on deadline day, with relatively few high-cap stocks such as ABC, ALX, HVN and RHC included.
High-profile stocks trading ex-dividend today include FMG, NHF, PTM, SKC, SIQ and WOW. Please see p4 for details.
In overnight commodities trade, oil rallied.
US gold futures (April) continued this week’s string of lower settlements.
Iron ore (China port, 62% Fe) declined further.
LME copper and nickel turned higher.
The $A traded at ~US71.40c after falling below US71.70c early yesterday evening.
Overseas Market Commentary
Major European and US equities markets headed lower early overnight, as India and Pakistan, both nuclear-armed, boosted military action against each other, the leaders of the US and North Korea met in Vietnam, and as the UK parliament deliberated over likely scenarios for leaving the European Union (EU).
In addition, the chief trade representative for the US Robert Lighthizer told a parliamentary committee that US tax threats on imports from China would likely need to continue for years.
US Federal Reserve chair Jerome Powell also told a House of Representatives financial services committee rate move predictions were not a priority as he repeated the Fed’s intention to keep focusing on economic data, both domestic and international.
In the UK, the parliament agreed on a new UK-EU separation arrangements vote anytime from next week through 12 March.
Among overnight data releases, US December wholesale inventories were reported 1.1% higher, following a 0.4% November increase.
The December goods trade deficit increased to $US79.49B from $US70.5B.
December factory orders rose 0.1% following a 0.5% November fall.
January pending home sales rose 4.6% for the month, following a 2.3% December drop. Year-on-year, pending sales fell 2.3%, against December’s 9.9% decline.
Weekly mortgage applications rose 5.3%, following a 3.6% increase last week, as 30-year rates remained relatively low.
A February euro zone business confidence index came in flat at 0.69.
Meanwhile, the European Commission warned Italy’s finances and ‘weakening economic outlook’ amounted to a euro zone risk, and that it was keen to see the nation’s reform proposals in April.
Tonight in the US, the first reading of December quarter GDP growth is keenly anticipated, and Federal Reserve chair Jerome Powell is scheduled to speak publicly again.
January trade figures, the February Chicago PMI, Kansas Fed manufacturing index and weekly new jobless claims are also due.
Elsewhere, an initial February CPI estimate for Germany is expected. Overnight, a 10-year German bond auction delivered the lowest average yields (0.12%) in ~2.5 years.
Companies scheduled to report earnings or updates later today or tonight include: Anheuser Busch InBev, Carrefour, Cars.com, Dell, Gap, IAG, Icahn Enterprises, JD.com, JC Penny, Keurig Dr Pepper, Marriott, Merlin Entertainments, Myhome, Nielsen, Nordstrom, Petrofac, Repsol, Rolls-Royce and Saipem.
AstraZeneca, Barclays, Diageo and easyJet are among companies trading ex-dividend on the FTSE 100.
In overnight corporate news, Marks & Spencer and Ocado confirmed JV discussions.
In the US, retailer Lowe’s exceeded quarterly profit expectations but undershot anticipated sales.
The Australian market commences last-day-of-the-month trade ahead of influential domestic, regional, US and euro zone data today and tonight.
Regionally today, China’s February PMIs, as provided by the National Bureau of Statistics, are anticipated midday AEDT.
Japan is due to report January industrial production and retail sales 10.50am AEDT.
Locally today, the Australian Bureau of Statistics (ABS) publishes December quarter private new capital spending plus future spending plans, 11.30am AEDT.
The Reserve Bank of Australia (RBA) reports January financial aggregates, which include private sector credit, also 11.30am.
A barrage of earnings reports is anticipated on deadline day, with relatively few high-cap stocks such as ABC, ALX, HVN and RHC included.
High-profile stocks trading ex-dividend today include FMG, NHF, PTM, SKC, SIQ and WOW. Please see p4 for details.
In overnight commodities trade, oil rallied.
US gold futures (April) continued this week’s string of lower settlements.
Iron ore (China port, 62% Fe) declined further.
LME copper and nickel turned higher.
The $A traded at ~US71.40c after falling below US71.70c early yesterday evening.
Overseas Market Commentary
Major European and US equities markets headed lower early overnight, as India and Pakistan, both nuclear-armed, boosted military action against each other, the leaders of the US and North Korea met in Vietnam, and as the UK parliament deliberated over likely scenarios for leaving the European Union (EU).
In addition, the chief trade representative for the US Robert Lighthizer told a parliamentary committee that US tax threats on imports from China would likely need to continue for years.
US Federal Reserve chair Jerome Powell also told a House of Representatives financial services committee rate move predictions were not a priority as he repeated the Fed’s intention to keep focusing on economic data, both domestic and international.
In the UK, the parliament agreed on a new UK-EU separation arrangements vote anytime from next week through 12 March.
Among overnight data releases, US December wholesale inventories were reported 1.1% higher, following a 0.4% November increase.
The December goods trade deficit increased to $US79.49B from $US70.5B.
December factory orders rose 0.1% following a 0.5% November fall.
January pending home sales rose 4.6% for the month, following a 2.3% December drop. Year-on-year, pending sales fell 2.3%, against December’s 9.9% decline.
Weekly mortgage applications rose 5.3%, following a 3.6% increase last week, as 30-year rates remained relatively low.
A February euro zone business confidence index came in flat at 0.69.
Meanwhile, the European Commission warned Italy’s finances and ‘weakening economic outlook’ amounted to a euro zone risk, and that it was keen to see the nation’s reform proposals in April.
Tonight in the US, the first reading of December quarter GDP growth is keenly anticipated, and Federal Reserve chair Jerome Powell is scheduled to speak publicly again.
January trade figures, the February Chicago PMI, Kansas Fed manufacturing index and weekly new jobless claims are also due.
Elsewhere, an initial February CPI estimate for Germany is expected. Overnight, a 10-year German bond auction delivered the lowest average yields (0.12%) in ~2.5 years.
Companies scheduled to report earnings or updates later today or tonight include: Anheuser Busch InBev, Carrefour, Cars.com, Dell, Gap, IAG, Icahn Enterprises, JD.com, JC Penny, Keurig Dr Pepper, Marriott, Merlin Entertainments, Myhome, Nielsen, Nordstrom, Petrofac, Repsol, Rolls-Royce and Saipem.
AstraZeneca, Barclays, Diageo and easyJet are among companies trading ex-dividend on the FTSE 100.
In overnight corporate news, Marks & Spencer and Ocado confirmed JV discussions.
In the US, retailer Lowe’s exceeded quarterly profit expectations but undershot anticipated sales.