Local Markets Commentary

The Australian market opens today’s trade ahead of influential regional data and on select positive overnight commodity price leads.

China reports July trade figures midday AEST. Foreign direct investment (FDI) may also be released.

Japan is expected to reveal June current account, bank lending and early-July trade figures 9.50am.

In overnight commodities trade, oil headed a little lower. US gold futures turned to settle barely higher. Iron ore (China port 62% Fe) continued higher, trading beyond $US76.0/t. LME copper extended late-week gains and nickel and aluminium turned to rally.

The $A traded in a narrow range, after slipping to ~US79.10c early yesterday evening.

Locally today, NAB publishes its monthly business survey report 11.30am AEST.

Pre-trade, a weekly consumer sentiment index is due.

Day two of the Diggers & Dealers forum will provide additional minerals sector announcements, presentations, and recommendations.

Overseas Market Commentary

Major European and US equities markets mostly headed higher overnight on relatively light volume, but sector trade reacted to corporate news and some surprise data sent Germany’s major index lower ahead of trade figures tonight.

Industrial production in Germany fell 1.1% during June, after improving 1.2% in May. For the June quarter, output rose 1.8% compared with the March quarter.

US June consumer credit rose $US12.4B, against expectations of a $US15.3B increase, and following an $US18.3B rise in May.

Meanwhile, a US Federal Reserve regional president offered the view that no further short-term rates moves were likely necessary, due to relatively static inflation.

Tonight in the US, a job opportunities report plus general economic optimism and small business optimism indices are due.

Daikin, Disney, CVS Health, Icahn Enterprises, InterContinental, Michael Kors, Ralph Lauren, Standard Life, Valeant Pharma and Yamaha Motor are among companies scheduled to report earnings later today and tonight.

In overnight corporate news, BlackBerry was pushed 3% lower on a sell recommendation.

Aerospace parts manufacturer United Technologies also fell, following reports of a possible acquisition of Rockwell Collins.

Tyson Foods rallied however, on better-than-expected quarterly figures fed by chicken and bacon demand.

Netflix confirmed the acquisition of comic publisher Millarworld.

Alibaba secured a deal to enable customers to use the Alibaba site to make bookings with the Marriott group.

In the meantime, Renault revealed plans for a new manufacturing operation in Iran.