Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.
Market Opener – 15 Nov 2017
Local Markets Commentary
The Australian market opens mid-week trade again on weak international equities sentiment, mixed commodities leads and ahead of influential data, this time for Australia and also out of Japan.
In overnight commodities trade, oil fell. US gold futures settled virtually flat. Iron ore (China port, 62% Fe) swung higher. LME copper, nickel and aluminium dropped.
The $A was pushed to ~US76.30c after trading at ~US76.20c early yesterday evening.
Locally today, Westpac and the Melbourne Institute are due to publish their monthly consumer sentiment report 10.30am AEDST.
The ABS releases the September quarter national wage cost index 11.30am.
A monthly leading employment indicator is also due, ahead of tomorrow’s October employment report.
In addition, October new vehicle sales are expected.
Regionally today, Japan publishes September quarter GDP 10.50am AEDST.
Overseas Market Commentary
Sentiment again proved weak from early trade across major European and US equities markets amid a batch of significant data releases.
China’s October industrial production, retail sales, fixed asset investment and foreign direct investment, reported yesterday, had each fallen on an annual basis from September.
This, and an oil price drop, in turn impacted base metals and related stocks trade.
Meanwhile, Standard & Poor’s declared Venezuela in default of bond payments to the tune of $US200M. This further bruised large-cap oil and gas sector stock prices.
An initial euro zone September quarter GDP reading of 0.6% growth for the quarter and 2.5% annually matched forecasts and June quarter figures.
Germany’s GDP growth figures (0.8% and 2.3% respectively) exceeded expectations, however.
A final October CPI estimate for Germany came in on par at 1.6% annual growth.
ZEW’s economic sentiment and current conditions indices rose, but fell short of forecasts.
For the UK, October CPI rose 3% year-on-year, slightly under predictions but on par with Septembers reading.
US October producer prices surprised, appreciating 0.4% against expectations of a 0.1% rise.
An October small business optimism index rose 0.8 to 103.8. following a 2.3-point pullback in September.
Central bankers at a European Central Bank (ECB) event discussed policy communications and guidance, US Federal Reserve chair Janet Yellen stating markets clamoured for predictions, against the bent of bankers, who remained intent on continual reviews of economic indicators and outlooks.
ECB president Mario Draghi promoted the success of his bank’s disclosures.
Tonight in the US, October CPI and retail sales, September business inventories, a New York region business activity index and weekly mortgage applications are due.
Companies scheduled to report earnings include Premier Foods, Staples and Target Corp.
In overnight corporate news, Vodafone reported a 4.1% drop in interim revenue to €23.1B, but 32.5% higher, €2B operating profit.
Being secured a $US1.3B 777 supply deal with Ethiopian Airlines.
General Electric continued out of favour, falling ~6%.
HSBC said it would pay a €300M to regulators in France in relation to alleged support for clients wanting to evade tax liabilities.
The Australian market opens mid-week trade again on weak international equities sentiment, mixed commodities leads and ahead of influential data, this time for Australia and also out of Japan.
In overnight commodities trade, oil fell. US gold futures settled virtually flat. Iron ore (China port, 62% Fe) swung higher. LME copper, nickel and aluminium dropped.
The $A was pushed to ~US76.30c after trading at ~US76.20c early yesterday evening.
Locally today, Westpac and the Melbourne Institute are due to publish their monthly consumer sentiment report 10.30am AEDST.
The ABS releases the September quarter national wage cost index 11.30am.
A monthly leading employment indicator is also due, ahead of tomorrow’s October employment report.
In addition, October new vehicle sales are expected.
Regionally today, Japan publishes September quarter GDP 10.50am AEDST.
Overseas Market Commentary
Sentiment again proved weak from early trade across major European and US equities markets amid a batch of significant data releases.
China’s October industrial production, retail sales, fixed asset investment and foreign direct investment, reported yesterday, had each fallen on an annual basis from September.
This, and an oil price drop, in turn impacted base metals and related stocks trade.
Meanwhile, Standard & Poor’s declared Venezuela in default of bond payments to the tune of $US200M. This further bruised large-cap oil and gas sector stock prices.
An initial euro zone September quarter GDP reading of 0.6% growth for the quarter and 2.5% annually matched forecasts and June quarter figures.
Germany’s GDP growth figures (0.8% and 2.3% respectively) exceeded expectations, however.
A final October CPI estimate for Germany came in on par at 1.6% annual growth.
ZEW’s economic sentiment and current conditions indices rose, but fell short of forecasts.
For the UK, October CPI rose 3% year-on-year, slightly under predictions but on par with Septembers reading.
US October producer prices surprised, appreciating 0.4% against expectations of a 0.1% rise.
An October small business optimism index rose 0.8 to 103.8. following a 2.3-point pullback in September.
Central bankers at a European Central Bank (ECB) event discussed policy communications and guidance, US Federal Reserve chair Janet Yellen stating markets clamoured for predictions, against the bent of bankers, who remained intent on continual reviews of economic indicators and outlooks.
ECB president Mario Draghi promoted the success of his bank’s disclosures.
Tonight in the US, October CPI and retail sales, September business inventories, a New York region business activity index and weekly mortgage applications are due.
Companies scheduled to report earnings include Premier Foods, Staples and Target Corp.
In overnight corporate news, Vodafone reported a 4.1% drop in interim revenue to €23.1B, but 32.5% higher, €2B operating profit.
Being secured a $US1.3B 777 supply deal with Ethiopian Airlines.
General Electric continued out of favour, falling ~6%.
HSBC said it would pay a €300M to regulators in France in relation to alleged support for clients wanting to evade tax liabilities.