Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.
Market Opener – 07 Jun 2018
Local Markets Commentary
The Australian market opens today’s trade ahead of further influential domestic data, following generally positive overnight international equities trade.
In mixed overnight commodities trade, oil turned lower.
US gold futures settled little changed.
Iron ore (China port, 62% Fe) recorded a second consecutive, modest gain.
LME copper continued in rally mode. Nickel swung lower and aluminium higher.
The $A approached US76.70c after surpassing US76.50c early yesterday evening.
Locally today, the Australian Bureau of Statistics (ABS) publishes April trade statistics 11.30am AEST.
Pre-trade, the AiG publishes its May construction sector activity index.
KMD and OFX are among several stocks trading ex-dividend today.
Regionally, China’s May foreign exchange reserves are anticipated anytime from today.
China’s trade figures are scheduled for release tomorrow. May CPI and producer prices are expected over the weekend.
Meanwhile, G7 leaders are preparing for a two-day summit commencing tomorrow night in Quebec, Canada.
Overseas Market Commentary
Major European and US equities markets opened higher overnight, vacillations mostly noted for European indices, and the DJIA decisively trending higher from open.
Commentary and data releases each proved influential.
Both the euro and British pound rallied, the euro on a European Central Bank (ECB) official’s confirmation next week’s policy meeting would include discussion surrounding the bond purchase timeline. Another official ventured ECB bond buying could come to a halt by year’s end.
German and US 10-year sovereign bond yields subsequently rallied. Italy’s two-year bond yields rose sharply for a second consecutive day.
Among other western European considerations, the EU also confirmed it would boost tariffs on €2.8B worth of US imports from July.
In the meantime, a euro zone May retail PMI came in at a three-month peak of 51.7.
Germany’s May construction PMI appreciated three points to 53.9.
In US data releases, the national trade deficit fell from $US49B in March to $US46.2B by 30 April, the least in seven months, in part supported by record oil exports.
Overall exports to Canada, the EU and Mexico had each reportedly grown by more than 10% for the year-to-date.
Goods trade deficits were calculated, at $US28B with China (8.1% higher for April), $US800M with Canada and $US5.7B with Mexico.
US March quarter labour costs were revised 0.2% higher, to 2.9%, and productivity revised to 0.4% from the initial 0.7% estimate.
Weekly mortgage applications rose 4.1%, buoyed by lower 30-year rates than across the past six weeks.
Tonight in the US, weekly new unemployment claims are due, together with April consumer credit.
Associated British Foods, J Sainsbury (supermarket chain) and Vodafone trade ex-dividend on the FTSE 100.
In overnight corporate news, Facebook began falling pre-US trade after revealing it had offered user data access to four Chinese companies.
Google in the meantime was reported to be facing a penalty from the European Union’s competition commissioner as early as July following an ‘abuse of market dominance’ investigation.
Tesla CEO Elon Musk retained his chairman role and three other directors their board positions, in an AGM vote.
Twitter announced a $US1B convertible bond issue.
The Australian market opens today’s trade ahead of further influential domestic data, following generally positive overnight international equities trade.
In mixed overnight commodities trade, oil turned lower.
US gold futures settled little changed.
Iron ore (China port, 62% Fe) recorded a second consecutive, modest gain.
LME copper continued in rally mode. Nickel swung lower and aluminium higher.
The $A approached US76.70c after surpassing US76.50c early yesterday evening.
Locally today, the Australian Bureau of Statistics (ABS) publishes April trade statistics 11.30am AEST.
Pre-trade, the AiG publishes its May construction sector activity index.
KMD and OFX are among several stocks trading ex-dividend today.
Regionally, China’s May foreign exchange reserves are anticipated anytime from today.
China’s trade figures are scheduled for release tomorrow. May CPI and producer prices are expected over the weekend.
Meanwhile, G7 leaders are preparing for a two-day summit commencing tomorrow night in Quebec, Canada.
Overseas Market Commentary
Major European and US equities markets opened higher overnight, vacillations mostly noted for European indices, and the DJIA decisively trending higher from open.
Commentary and data releases each proved influential.
Both the euro and British pound rallied, the euro on a European Central Bank (ECB) official’s confirmation next week’s policy meeting would include discussion surrounding the bond purchase timeline. Another official ventured ECB bond buying could come to a halt by year’s end.
German and US 10-year sovereign bond yields subsequently rallied. Italy’s two-year bond yields rose sharply for a second consecutive day.
Among other western European considerations, the EU also confirmed it would boost tariffs on €2.8B worth of US imports from July.
In the meantime, a euro zone May retail PMI came in at a three-month peak of 51.7.
Germany’s May construction PMI appreciated three points to 53.9.
In US data releases, the national trade deficit fell from $US49B in March to $US46.2B by 30 April, the least in seven months, in part supported by record oil exports.
Overall exports to Canada, the EU and Mexico had each reportedly grown by more than 10% for the year-to-date.
Goods trade deficits were calculated, at $US28B with China (8.1% higher for April), $US800M with Canada and $US5.7B with Mexico.
US March quarter labour costs were revised 0.2% higher, to 2.9%, and productivity revised to 0.4% from the initial 0.7% estimate.
Weekly mortgage applications rose 4.1%, buoyed by lower 30-year rates than across the past six weeks.
Tonight in the US, weekly new unemployment claims are due, together with April consumer credit.
Associated British Foods, J Sainsbury (supermarket chain) and Vodafone trade ex-dividend on the FTSE 100.
In overnight corporate news, Facebook began falling pre-US trade after revealing it had offered user data access to four Chinese companies.
Google in the meantime was reported to be facing a penalty from the European Union’s competition commissioner as early as July following an ‘abuse of market dominance’ investigation.
Tesla CEO Elon Musk retained his chairman role and three other directors their board positions, in an AGM vote.
Twitter announced a $US1B convertible bond issue.