Local Markets Commentary

The Australian market commences Friday trade on largely uninspiring international equities and commodities leads, as financial reporting season continues

In overnight commodities trade, gold extended this week’s decline. Oil swung higher. Copper slipped again, but slightly. Iron ore continued lower for a third consecutive session.

The $A effectively held after trading at ~US76.15c yesterday evening.

Regionally today, Japan is due to report July CPI 9.30am AEST.

China is expected to reveal July industrial profits over the weekend.

Overseas Market Commentary

Choppy trade featured across major European and US equities markets overnight, key US indices also swinging.

Among new US economic reports, July durable goods orders were reported higher for a second consecutive month, rising 4.4% for the month,

Weekly new unemployment claims fell 1000, representing a third consecutive weekly decline and defying forecasts of a 3000 increase.

Markit’s initial August services sector activity index slipped 0.5 to 50.9, the lowest estimate in the past six months.

A Kansas City region composite PMI improved to -4 from -6.

Earlier in Germany, the Ifo business confidence index was reported 2.1 points lower for the past month, but nonetheless well above 100, at 106.2.

Tonight in the US, US Federal Reserve chair Janet Yellen will speak to international central bankers at an annual monetary policy forum in Jackson Hole, Wyoming.

In data releases, a second (of three) June quarter GDP estimate, July trade figures and a final University of Michigan August consumer sentiment reading are due.

Prada, Agricultural Bank of China, CITIC and Tata Motors are among companies scheduled to report earnings today and tonight.

Overnight, Tiffany, Dollar General and Dollar Tree each reported lower or softer-than-anticipated sales, dampening discretionary consumer stock sentiment.