Disclaimer: All information on this section is of a general nature.
Before making any investment decision, you should seek the relevant advice.
Market Opener – 20 Aug 2019
Local Markets Commentary
The Australian market commences today’s trade with minutes from the Reserve Bank of Australia’s (RBA) most recent policy meeting due late morning, plus BHP and several other large-cap and high-profile stocks reporting earnings, following optimistic overnight trade across international equities markets.
Locally today, the RBA publishes the minutes of its 6 August policy meeting 11.30am AEST.
Pre-trade, a weekly consumer confidence reading is due.
CPU and HT1 are among companies trading ex-dividend today. Please see p4 for a detailed list.
In overnight commodities trade, oil picked up the pace of Friday’s move higher.
US gold futures (December) continued to pull back.
Iron ore (Nymex CFR China, 62% Fe) turned to settle above $US94.35/t.
LME copper added a little to Friday’s rise. Nickel picked up the pace of its late-week fall. Aluminium swung to settle slightly lower.
The $A slipped to ~US67.65c after trading at US67.75c early yesterday evening.
Locally today, the RBA publishes the minutes of its 6 August policy meeting 11.30am AEST.
Pre-trade, a weekly consumer confidence reading is due.
CPU and HT1 are among companies trading ex-dividend today. Please see p4 for a detailed list.
In overnight commodities trade, oil picked up the pace of Friday’s move higher.
US gold futures (December) continued to pull back.
Iron ore (Nymex CFR China, 62% Fe) turned to settle above $US94.35/t.
LME copper added a little to Friday’s rise. Nickel picked up the pace of its late-week fall. Aluminium swung to settle slightly lower.
The $A slipped to ~US67.65c after trading at US67.75c early yesterday evening.
Overseas Market Commentary
Major European and US equities markets jumped on opening overnight, sentiment never looking threatened following fiscal support moves and comments from China and Germany, and positive commentary out of the US, continuing from the weekend through last night.
The US administration announced a 90-day easing of a ban on US companies doing business with Huawei was extended past last night’s deadline for another 90 days. However, an additional 46 Huawei-associated companies will be added to the ban now due to come into effect in November.
In addition, one official also asserted China and US officials remained actively engaged in finding trade solutions.
Further, the US president debunked suggestions the US could fall into recession, again berated the US Federal Reserve and promoted a minimum 1% rates reduction.
This commentary followed China’s announcement over the weekend of rates policy change that would support easier company financing.
Overall, the comments supported US-listed tech stocks in particular.
Among scant data releases, the euro zone’s final July CPI reading undershot expectations by 0.1%, coming in at 0.5% deflation, following 0.2% June growth.
Year-on-year, July CPI represented a 1.0% rise.
Meanwhile, Germany’s finance minister was reported to be claiming the government would be willing and ready to implement fiscal support if deemed necessary.
Tonight in the US, a Philadelphia region services activity index is due.
Companies scheduled to report earnings later today and tonight include: US Best Buy, Foot Locker, Gap, Hewlett Packard Enterprise, Home Depot, Toll Brothers and Urban Outfitters.
In overnight corporate news, Apple was reported to be outlaying a minimum $US6B for offerings on its planned video streaming service.
Estee Lauder was pushed more than 10% higher after exceeded quarterly sales expectations, especially in international markets including China.
China’s NASDAQ-listed social media specialist Weibo also gained, after reporting better-than-feared quarterly outcomes.
Meanwhile, Baidu has also pleased with quarterly figures, in particular from streaming demand.
The US administration announced a 90-day easing of a ban on US companies doing business with Huawei was extended past last night’s deadline for another 90 days. However, an additional 46 Huawei-associated companies will be added to the ban now due to come into effect in November.
In addition, one official also asserted China and US officials remained actively engaged in finding trade solutions.
Further, the US president debunked suggestions the US could fall into recession, again berated the US Federal Reserve and promoted a minimum 1% rates reduction.
This commentary followed China’s announcement over the weekend of rates policy change that would support easier company financing.
Overall, the comments supported US-listed tech stocks in particular.
Among scant data releases, the euro zone’s final July CPI reading undershot expectations by 0.1%, coming in at 0.5% deflation, following 0.2% June growth.
Year-on-year, July CPI represented a 1.0% rise.
Meanwhile, Germany’s finance minister was reported to be claiming the government would be willing and ready to implement fiscal support if deemed necessary.
Tonight in the US, a Philadelphia region services activity index is due.
Companies scheduled to report earnings later today and tonight include: US Best Buy, Foot Locker, Gap, Hewlett Packard Enterprise, Home Depot, Toll Brothers and Urban Outfitters.
In overnight corporate news, Apple was reported to be outlaying a minimum $US6B for offerings on its planned video streaming service.
Estee Lauder was pushed more than 10% higher after exceeded quarterly sales expectations, especially in international markets including China.
China’s NASDAQ-listed social media specialist Weibo also gained, after reporting better-than-feared quarterly outcomes.
Meanwhile, Baidu has also pleased with quarterly figures, in particular from streaming demand.