Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should consult your adviser.
Market Opener – 25 Jul 2018
Local Markets Commentary
The Australian market opens mid-week trade on generally positive overnight international trade leads, ahead of influential domestic data late-morning, a plethora of international earnings reports later today and tonight, and election news out of Pakistan.
In overnight commodities trade, both Brent and WTI crude settled higher.
US gold futures closed little changed.
Iron ore (China port, 62% Fe) turned slightly lower.
LME copper and nickel swung higher. Aluminium recorded a third consecutive higher settlement.
The $A appreciated to ~US74.25c after trading at ~US73.75c early yesterday evening.
Locally today, June quarter CPI growth is keenly anticipated 11.30am AEST.
A skilled jobs vacancies index is also due today.
Regionally, this morning, New Zealand has reported a $NZ113M June trade deficit against expectations of $NZ200M.
Meanwhile, it’s national election day in Pakistan.
Overseas Market Commentary
Major European and US equities markets mostly opened higher overnight, trade reacting to earnings reports, manufacturing data, domestic economic growth initiatives announced earlier by China’s State Council, and national agriculture sector support flagged by the US administration.
The administrators introduced plans for bonds that local governments could use for infrastructure development, plus corporate tax reductions to help offset research costs and to support small business.
In addition, the US administration revealed plans to offer significant support to the domestic agriculture sector, pending impacts from changing international trade tariffs.
Among data releases, an initial US Markit July manufacturing PMI rose 0.1 to 55.5, and the services sector index declined 0.3 to 56.2, both regarded as strong figures.
The Richmond Fed manufacturing index slipped to 20 from 21, but a 14% fall had been anticipated.
Earlier, the euro zone’s initial July manufacturing PMI came in at 55.1, 0.2 higher for the month and defying forecasts of a 0.3-point slip. The services sector index slipped 0.8 however, to a nonetheless remaining sturdy 54.4.
Germany’s July manufacturing PMI was calculated 1.4 points higher, at a robust 57.3.
Meanwhile in Turkey, the central bank surprised by retaining its key interest rate, raising questions of its independence and propelling the lira lower.
Tonight in the US, June new home sales and weekly mortgage applications are due.
Companies due to report earnings later today or tonight, or provide an update, include: Antofagasta, Boeing, Coca-Cola, Deutsche Bank, Facebook, Fiat Chrysler, Ford Motor, Freeport-McMoran, General Motors, Gilead Sciences, GlaxoSmithKline, ITV, Mattel, Mondelez International, Northrop Grumman, PayPal, Qualcomm, Samsung C&T, Tullow Oil, Visa and Vodafone.
In overnight corporate news, Verizon Communications surpassed quarterly expectations and helped push the telecom sector higher.
United Technologies was pushed ~3.5% higher on pleasing numbers and boosts to annual revenue and profit guidance, delivering a positive aura to large industrial stocks.
Likewise, Lockheed Martin impressed with figures and guidance.
Among those releasing interim results, luxury retailer LVMH delivered pleasing revenue.
Biogen and Eli Lilly supported biotechs and pharmaceuticals with a mix of better-than-anticipated quarterly results, outlooks and research news which pushed the stocks to multi-year peaks.
Alphabet’s impressive figures, released post-Monday US trade, buoyed general earnings sentiment, as anticipated, as its stock traded at a new peak.
Notably, the NASDAQ traded at record highs early overnight.
The Australian market opens mid-week trade on generally positive overnight international trade leads, ahead of influential domestic data late-morning, a plethora of international earnings reports later today and tonight, and election news out of Pakistan.
In overnight commodities trade, both Brent and WTI crude settled higher.
US gold futures closed little changed.
Iron ore (China port, 62% Fe) turned slightly lower.
LME copper and nickel swung higher. Aluminium recorded a third consecutive higher settlement.
The $A appreciated to ~US74.25c after trading at ~US73.75c early yesterday evening.
Locally today, June quarter CPI growth is keenly anticipated 11.30am AEST.
A skilled jobs vacancies index is also due today.
Regionally, this morning, New Zealand has reported a $NZ113M June trade deficit against expectations of $NZ200M.
Meanwhile, it’s national election day in Pakistan.
Overseas Market Commentary
Major European and US equities markets mostly opened higher overnight, trade reacting to earnings reports, manufacturing data, domestic economic growth initiatives announced earlier by China’s State Council, and national agriculture sector support flagged by the US administration.
The administrators introduced plans for bonds that local governments could use for infrastructure development, plus corporate tax reductions to help offset research costs and to support small business.
In addition, the US administration revealed plans to offer significant support to the domestic agriculture sector, pending impacts from changing international trade tariffs.
Among data releases, an initial US Markit July manufacturing PMI rose 0.1 to 55.5, and the services sector index declined 0.3 to 56.2, both regarded as strong figures.
The Richmond Fed manufacturing index slipped to 20 from 21, but a 14% fall had been anticipated.
Earlier, the euro zone’s initial July manufacturing PMI came in at 55.1, 0.2 higher for the month and defying forecasts of a 0.3-point slip. The services sector index slipped 0.8 however, to a nonetheless remaining sturdy 54.4.
Germany’s July manufacturing PMI was calculated 1.4 points higher, at a robust 57.3.
Meanwhile in Turkey, the central bank surprised by retaining its key interest rate, raising questions of its independence and propelling the lira lower.
Tonight in the US, June new home sales and weekly mortgage applications are due.
Companies due to report earnings later today or tonight, or provide an update, include: Antofagasta, Boeing, Coca-Cola, Deutsche Bank, Facebook, Fiat Chrysler, Ford Motor, Freeport-McMoran, General Motors, Gilead Sciences, GlaxoSmithKline, ITV, Mattel, Mondelez International, Northrop Grumman, PayPal, Qualcomm, Samsung C&T, Tullow Oil, Visa and Vodafone.
In overnight corporate news, Verizon Communications surpassed quarterly expectations and helped push the telecom sector higher.
United Technologies was pushed ~3.5% higher on pleasing numbers and boosts to annual revenue and profit guidance, delivering a positive aura to large industrial stocks.
Likewise, Lockheed Martin impressed with figures and guidance.
Among those releasing interim results, luxury retailer LVMH delivered pleasing revenue.
Biogen and Eli Lilly supported biotechs and pharmaceuticals with a mix of better-than-anticipated quarterly results, outlooks and research news which pushed the stocks to multi-year peaks.
Alphabet’s impressive figures, released post-Monday US trade, buoyed general earnings sentiment, as anticipated, as its stock traded at a new peak.
Notably, the NASDAQ traded at record highs early overnight.