Local Markets Commentary
The Australian market opens today’s trade ahead of keenly anticipated Reserve Bank of Australia (RBA) post-policy meeting outcomes statement this afternoon, and Australia’s national budget presentation this evening, following positive overnight international equities trade, but with further proposal voting in the UK parliament failing to progress EU 12 April withdrawal plans.

In overnight commodities trade, oil and iron ore (China port, 62% Fe) rallied further.

US gold futures (June) settled modestly lower.

LME copper and aluminium turned lower. Nickel remained supported. 

The $A fell towards US71.10c after trading at US71.30c early yesterday evening.

Locally today, the RBA releases its post-policy meeting outcomes statement 2.30pm AEDT.

Pre-trade, a weekly consumer sentiment reading is due.

The Australian Bureau of Statistics (ABS) publishes February building approvals 11.30am AEDT.

ABC is among stocks trading ex-dividend today. Please see p4 for a comprehensive list.

Overseas Market Commentary
Major European and US equities markets opened higher overnight for a second consecutive session, major indices again closing at or near session highs.

Trade appeared mostly buoyed by a cocktail of encouraging manufacturing data out of China, the US and UK, corporate news and central bank assurances on both sides of the Atlantic of considered support and no near-term rate increases.

Meanwhile in the UK parliament, the House of Commons prepared to vote on four proposals for withdrawing from the European Union (EU), alternative to the negotiated arrangements which have been voted down three times.

The votes again came in following northern-hemisphere equities trade, with none achieving a majority result.

A customs union plan was defeated by just three votes, however.

A referendum proposal came up short by 12 votes.

Earlier, the European Central Bank (ECB) published its annual report, ECB president Mario Draghi asserting stimulus was still required, not in the least due to risks related to broad geopolitical uncertainty, emerging markets fragility and protectionist policies. 

Across the Atlantic, the US administration announced it would increase border security personnel on the US-Mexico border at a quicker pace than initially planned and would also ‘expand’ a policy for returning asylum seekers to central America.

Among a swag of US data releases, the ISM’s March manufacturing PMI rose by 1.1 to a robust 55.3.

February retail sales unexpectedly slipped by 0.2% after rising 0.7% in January. Year-on-year, sales were 2.2% higher.

The monthly sales in particular appeared to push the $US lower, due to the influence of consumer spending on national GDP.

10-year Treasury bond yields rose to ~2.50% from ~2.4% Friday.

Business inventories grew 0.8% in January, the same rate reported for December 2018.

February construction spending increased 1% for the month, following a 2.5% January rise. 

A preliminary March CPI estimate for the euro zone represented 1.4% year-on-year growth, following 1.5% in February.

The euro zone’s final March manufacturing PMI confirmed last month’s contraction move, coming in as a 1.8-point fall for the month to 47.5.

In Germany, the final March manufacturing PMI represented a 3.5-point fall further into contraction mode to 44.1.

The UK’s March manufacturing PMI gained three points to an enviable 55.1.

Tonight in the US, durable goods orders, a New York business activity index and vehicle sales are due.

Walgreens Boots Alliance is scheduled to report earnings.

In overnight corporate news, Kellogg announced a $US1.3B planned sale of key biscuit brands, plus fruit-like snacks, pie crusts and ice cream cone businesses to Ferrero Group (owns Nutella). 

Saudi Aramco commenced a road show, unveiling finances including a 2018 $US111.1B net profit, ahead of the group’s initial international $US10B bond sale.

Merck received support from approval to promote a lung cancer treatment (branded Keytruda) in China.

Amazon benefited from a positive research report.