Research

Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.

Market Opener - 20 Jan 2017

 
Local Markets Commentary

The Australian market commences Friday trade on mostly negative equities and commodities leads, ahead of influential data out of China.

China’s December quarter GDP, December industrial production, fixed assets investment and retail sales are anticipated 1pm AEDST.

Also, come Monday’s trade, the US will have a new president, following tonight’s (early tomorrow AEDST) inauguration of Donald Trump.

In overnight commodities trade, gold continued lower. Oil turned higher. Copper and iron ore pulled back.

The $A effectively market time after rising to ~US75.60c yesterday evening.

Locally today, CBA’s December business sales indicator, based on card transactions, is due.

Overseas Market Commentary

Major European and US equities markets traded lower, amid weak financial sector sentiment and political caution on both sides of the Atlantic, and despite some positive economic indicator reports.

The European Central Bank (ECB) convened a policy meeting, keeping all rates and programs in place.

President Mario Draghi deflected criticism that policy was not yet being tightened, stating the bank was not convinced of any upward trend in underlying inflation.

The euro consequently turned lower against the $US.

In US data releases, December housing starts were reported 11.3% higher, and for 2016, to have improved 4.9%.

Building approvals pulled back 0.2%, however, largely due to a drop in apartment-style applications.

Weekly new unemployment claims fell by 15,000, following expectations of a rise. The four-week moving average fell 10,250 to the lowest tally in ~33 years.

The Philadelphia Fed manufacturing activity index was estimated 3.9 points higher for the month.

Tonight in the US, Donald Trump is due be inaugurated as the nation’s new president (early Saturday AEDST).

Federal Reserve chair Janet Yellen is speaking publicly for the second time this week.

General Electric, Schlumberger and Tokyo Steel are among companies scheduled to report today and tonight.

 
20/01/2017 6:54:59 AM

Back to top