Local Markets Commentary

The Australian market opens the first full week’s trade of 2017 on positive international equities and mixed commodities leads, plus new data out of China.

China’s December foreign exchange reserves have been reported over the weekend as $US41B lower for December, at ~$US3.01 trillion, against expectations of up to a $US51B fall. Foreign direct investment figures are anticipated anytime from today.

In overnight Friday commodities trade, gold traded lower. Oil settled moderately higher. Copper gained a little. Iron ore fell.

The $A traded at ~US73.0c and has fallen below this morning.

Locally today, a construction sector activity index is due pre-trade.

11.30am, the ABS is due to release November residential building approvals and the ANZ a monthly job advertisements report.

Japan’s markets are closed today due to a public holiday.

Overseas Market Commentary

Major European equities markets largely vacillated through Friday’s trade, while key US indices rose definitively following an uncertain start.

In US data reports, the December employment report revealed 156,000 jobs were created during the month, following forecasts of 175,000.

November’s tally was revised to 204,000, from 178,000.

December’s unemployment rate came in 0.1% higher, at 4.7%. Average hourly earnings rose 2.7% year-on-year.

In Germany, November retails sales were reported 3.2% higher year-on-year and industrial orders down 2.5% for the month.

The euro zone’s overall November retail sales growth came in at 2.3% higher year-on-year.

Tonight in the US, a monthly labour market conditions report is due.

Salesforce.com is due to report full-year earnings, and Alcoa for the December quarter and half-year.

In overnight Friday corporate news, Apple gained after a Canada’s competition regulator ruled in favour of the company following a two-year investigation.