Local Markets Commentary

The Australian market will open a new week’s trade continuing to be influenced by domestic corporate reports, large stocks trading dividend and key commodity price moves.

In overnight Friday commodities trade, gold continued higher. Oil turned lower. Copper swung higher and rallied, together with other key base metals.

Iron ore (China port, 62% Fe) continued to fall Friday, but overnight Friday, iron ore futures were pushed higher again. This suggests spot prices could follow today.

The $A fell notably after trading at ~US77.15c early Friday evening.

Locally today, the ABS publishes a December quarter business indicators report 11.30am AEDST.

CoreLogic is due to release capital city house prices for the past week.

AZJ, CCL and ORA are among stocks trading ex-dividend today.

Overseas Market Commentary

Major European and US equities markets headed lower on opening overnight Friday, but key US indices were propelled higher in the last 30 minutes of trade.

Since then, US treasury secretary Steven Mnuchin promised president Donald Trump would reveal more detail on planned tax relief Tuesday, and that social entitlement cuts were not planned for the first Trump budget.

In US data releases, a 96.3 University of Michigan final February consumer sentiment reading represented a 2.2-point fall for the month.

January new home sales were reported 3.7% higher.

Meanwhile, Greece insisted it would need more bailout funding to be released during the June quarter, contradicting creditors who last week claimed the nation would not need support until July.

Tonight in the US, January pending home sales and durable goods orders are due, together with a Texas region manufacturing index.

In overnight Friday corporate news, Royal Bank of Scotland (RBS) did not help early UK market sentiment, reporting a £7B full-year loss.

IAG (owns British Airways) reported improved profits, adverse forex impacts, lower fuel costs and a revenue pullback.

In the US, retailer JC Penney suffered after sounding a 2017 sales warning while reporting December quarter results which undershot expectations.

Fellow department store Nordstrom gained on the opposite, a sales growth outlook and better-than anticipated quarterly figures.

Gap and Foot Locker also received a boost on results.

Hewlett Packard Enterprise trimmed full-year guidance and accordingly depreciated.