Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.
Market Opener – 05 Jun 2018
Local Markets Commentary
Further key domestic data releases continue through Australian market trade today, ahead of the Reserve Bank of Australia’s (RBA) post-policy meeting outcomes statement this afternoon.
In addition, final May PMIs are due for China and Japan today.
Major international equities indices settled higher again overnight, but in commodities trade, oil continued lower and iron ore (China port, 62% Fe) swung to a new fall. This will pressure select domestic stock today.
US gold futures settled slightly down.
LME copper rallied.
The $A hovered near US76.50c after trading at US76.45c early yesterday evening. Yesterday, the $A rose the most in a day against the $US in more than nine months.
Locally today, the RBA holds a policy meeting from which outcomes will be announced 2.30pm AEST.
The Australian Bureau of Statistics will release its March quarter balance of payments report 11.30am AEST, warming speculation regarding tomorrow’s GDP figures..
Pre-trade, the AiG’s May services sector activity index and a weekly consumer sentiment reading are due.
Regionally, Caixin is expected to publish its final May services and composite PMIs for China 11.45am AEST.
Markit’s equivalent figures for Japan are due 10.30am AEST.
Overseas Market Commentary
Major European and US equities markets continued to settle higher overnight amid currency swings and international trade implications speculation, the NASDAQ ultimately achieving a new record settlement. The DAX 30 and NASDAQ notably vacillated intra-session.
The $US had earlier traded at two-month lows, but began to ascend, and the tech sector rallied amid major deals, further user data-sharing reports and Apple’s developer conference.
In mixed data releases US, April factory orders fell 0.8%, impacted by a decline in transport sector demand. March orders had risen 1.7%.
The ISM’s New York region manufacturing index rose to a robust 58.7 from 57.3 in April. The overall business conditions index appreciated 2.6 points to 66.9.
In the euro zone, April producer prices were reported flat for the month, following expectations of a 0.2% rise, after a 0.1% increase in March.
A UK May construction PMI remained at 52.5.
Tonight in the US, the ISM’s May services sector activity index, an April job openings report and an economic optimism reading are due.
Elsewhere, a public address by European Central Bank (ECB) president Mario Draghi is keenly anticipated for any risk commentary, in particular following overnight revelations the ECB proportionally reduced purchases of Italian bonds during May.
In overnight corporate news, Microsoft revealed it was paying $US7.5B for coding collaboration online host Github.
Meanwhile, Apple opened its yearly developer conference with an operating system update and new control and augmented reality features, helping the company’s stock to a new record intra-session peak.
Weekend reports outlining alleged aspects of Facebook’s multi-year practice of sharing user data with Apple, Amazon, Samsung and Microsoft pushed Facebook stock ~0.4% lower.
Network security company Palo Alto Networks was punished after undershooting current quarter profit expectations.
Merck appreciated 2.4% on positive indications for a proposed lung cancer treatment.
Germany’s Bayer announced all approvals were in place for the completion of the Monsanto purchase Thursday this week.
Post-US trade, Twitter was announced as the Monsanto replacement on the S&P 500 and Netflix on the S&P 100.
Further key domestic data releases continue through Australian market trade today, ahead of the Reserve Bank of Australia’s (RBA) post-policy meeting outcomes statement this afternoon.
In addition, final May PMIs are due for China and Japan today.
Major international equities indices settled higher again overnight, but in commodities trade, oil continued lower and iron ore (China port, 62% Fe) swung to a new fall. This will pressure select domestic stock today.
US gold futures settled slightly down.
LME copper rallied.
The $A hovered near US76.50c after trading at US76.45c early yesterday evening. Yesterday, the $A rose the most in a day against the $US in more than nine months.
Locally today, the RBA holds a policy meeting from which outcomes will be announced 2.30pm AEST.
The Australian Bureau of Statistics will release its March quarter balance of payments report 11.30am AEST, warming speculation regarding tomorrow’s GDP figures..
Pre-trade, the AiG’s May services sector activity index and a weekly consumer sentiment reading are due.
Regionally, Caixin is expected to publish its final May services and composite PMIs for China 11.45am AEST.
Markit’s equivalent figures for Japan are due 10.30am AEST.
Overseas Market Commentary
Major European and US equities markets continued to settle higher overnight amid currency swings and international trade implications speculation, the NASDAQ ultimately achieving a new record settlement. The DAX 30 and NASDAQ notably vacillated intra-session.
The $US had earlier traded at two-month lows, but began to ascend, and the tech sector rallied amid major deals, further user data-sharing reports and Apple’s developer conference.
In mixed data releases US, April factory orders fell 0.8%, impacted by a decline in transport sector demand. March orders had risen 1.7%.
The ISM’s New York region manufacturing index rose to a robust 58.7 from 57.3 in April. The overall business conditions index appreciated 2.6 points to 66.9.
In the euro zone, April producer prices were reported flat for the month, following expectations of a 0.2% rise, after a 0.1% increase in March.
A UK May construction PMI remained at 52.5.
Tonight in the US, the ISM’s May services sector activity index, an April job openings report and an economic optimism reading are due.
Elsewhere, a public address by European Central Bank (ECB) president Mario Draghi is keenly anticipated for any risk commentary, in particular following overnight revelations the ECB proportionally reduced purchases of Italian bonds during May.
In overnight corporate news, Microsoft revealed it was paying $US7.5B for coding collaboration online host Github.
Meanwhile, Apple opened its yearly developer conference with an operating system update and new control and augmented reality features, helping the company’s stock to a new record intra-session peak.
Weekend reports outlining alleged aspects of Facebook’s multi-year practice of sharing user data with Apple, Amazon, Samsung and Microsoft pushed Facebook stock ~0.4% lower.
Network security company Palo Alto Networks was punished after undershooting current quarter profit expectations.
Merck appreciated 2.4% on positive indications for a proposed lung cancer treatment.
Germany’s Bayer announced all approvals were in place for the completion of the Monsanto purchase Thursday this week.
Post-US trade, Twitter was announced as the Monsanto replacement on the S&P 500 and Netflix on the S&P 100.