Local Markets Commentary
The Australian market commences today’s trade again on negative overnight US equities trade leads. 

In overnight commodities trade, oil turned positive and closed moderately higher. US gold futures turned to settle slightly down. 

LME copper continued to gain, but nickel and aluminium were pushed lower.

Iron ore (China port, 62% Fe) swung higher and rallied. 

The $A fell below US78.75c after rising to ~US78.90c early yesterday evening.

Locally today, the Reserve Bank of Australia (RBA) publishes its quarterly bulletin 11.30am AEDST. A consumer inflations expectations report is also scheduled for release today, at 11am.

Again, several large-cap and high-profile stocks will trade ex-dividend. Please see p3 for detailed information.

This morning, New Zealand has reported 2.9% December quarter GDP growth following forecasts of a 3.1% gain. Unusually warm weather pushed agriculture output 2.7% lower.

Some economists are expecting February direct foreign investment out of China today.

Overseas Market Commentary
US equities markets first headed lower in early trade but chopped and swung. European trade vacillated, US sentiment again proving a major drag.

Investors appeared ambivalent regarding growing reports of US plans for further import taxes for goods from China, confirmation of a nominee (previously perceived as free trade exponent) for National Economic Council director (chief economic advisor in the US administration), and some disappointing data releases.

In addition, European Central Bank president Mario Draghi advocated gradual interest rate rises for the region, when appropriate, at a conference in Frankfurt. 

Russia was reported to have amassed military vessels in the Mediterranean, and the UK said that among other measures, it was expelling 23 Russian diplomats in response to last week’s nerve agent attack on two individuals in the UK.

Meanwhile, Germany’s final February CPI reading confirmed 0.5% growth for the month and 1.4% year-on-year appreciation. 

Euro zone January industrial production dropped 1.0% for the month, representing a 2.7% year-on-year rise, following respective forecasts of a 0.5% fall and 4.4% gain. Industrial output had improved 0.4% during December.

US February producer prices rose 0.2% for the month, taking the year-on-year increase to 2.8%. The PPI had grown 0.4% in January and February’ rise had been anticipated as a relatively constrained 0.1%. 

Retail sales slipped 0.1% against an anticipated 0.3% improvement and following declines for both December and January.

January business inventories grew 0.6% for the month, the same rise as recorded for December. January business sales had declined 0.2% after improving 0.5% during December.

Tonight in the US, weekly new unemployment claims, import and export prices, two regional manufacturing indices and a housing market index are due. 

Companies scheduled to report earnings later today and tonight include Nike, San Miguel Corp, Swire and China’s ZTE Corp. 

Anglo American trades ex-dividend on the FTSE 100.