Local Markets Commentary

The Australian market opens Friday trade on mostly negative key commodities and international equities leads.

In overnight commodities trade, US gold futures and oil fell further. LME copper and other key base metals turned and fell. Iron ore (China port, 62% Fe) swung higher, but Dalian Commodities Exchange futures subsequently tumbled.

The $A slid further after dropping below US76.25c yesterday evening.

Locally pre-trade, the AiG publishes its February services sector activity index.

February new vehicle sales are also due today.

REA, REG and TWE are among high-profile stocks trading ex-dividend today. Please see p3 for a detailed list.

In China, Caixin is expected to publish its latest services PMI 12.45pm AEDST, ahead of the annual National People’s Congress due to commence this weekend.

Japan’s January CPI is keenly anticipated 10.30am AEDST.

Overseas Market Commentary

Major European equities markets chopped and swung overnight, but US indices mostly declined on what appeared to be more decisive trade.

In the euro zone, January CPI growth came in at 2.0% annually, following 1.8% for January, again supported by energy prices. Core inflation (excluding food and energy) remained at 0.9%

In US data releases, weekly new unemployment claims fell 19,000 and the four-week moving average declined 6250.

Tonight in the US, US Federal Reserve chair Janet Yellen is scheduled to deliver an economic outlook address 1pm US EST. Four other Federal Reserve officials are also listed to speak publicly.

In data releases, the ISM February non-manufacturing activity index and final Markit February services PMI are due.

Advertising group WPP, Staples and STV are among companies listed to report earnings.

In overnight corporate news, Caterpillar suffered on news officials from three government departments had searched company offices.

Snap completed a successful debut, trading more than 40% higher than the IPO price on a greater than 200M share turnover.

Anheuser-Busch InBev quarterly earnings disappointed, in part impacted by falling sales in post-Olympics Brazil.