Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


IG Markets - Morning Prices Feb 21

In European trade, markets extended their gains on optimism that eurozone authorities and the IMF would successfully complete a Greek deal that would ensure the avoidance of a messy default. It also advanced on hopes that China's lowering of the RRR by 50 basis points on Saturday would ensure a soft landing for its economy. US markets were closed on Monday for the Presidents’ Day holiday.

Among the major averages, the FTSE put on 07% to close at 5945. The CAC was 1% higher at 3473 and the DAX jumped 1.5% to finish at 6948.

With US markets closed there aren’t many leads for investors to work off. As it stands, markets are in a holding pattern as investors wait to hear the outcome from the eurogroup finance ministers’ meeting. It kicked off at 1am Sydney time, and is still in progress at the time of writing. Although a deal is widely expected, what will be interesting will be the comments accompanying the deal. We will write more on this in the afternoon report. For now, we wait to see if there will be a ‘buy the rumour, sell the fact’ reaction to the outcome. The bulls will be hoping for a definitive arrangement which prevents a Greece style situation in the future.

Commodities advanced, due in part to hopes the latest phase of the Greek drama will be resolved and in great part to the move by China to lower the RRR by 50 basis points. In the absence of a curve ball from the meeting, this should be supportive of the resource stocks today. Reporting today we have Flight Centre, Monadelphous, Oil Search, OneSteel and REA Group. MND reported this morning, with its net profit coming in within guidance. FLT has increased its FY guidance range, a move which will likely be cheered by investors.

Ahead of the open, we are calling the Aussie market flat at 4256. On the economic calendar, we have monetary policy meeting minutes at 11.30am (AEDST), followed by some comments from RBA Gov. Mr Stevens at 1.30pm (AEDST). Investors will be looking for any indication of what might happen with rates going forward after this month’s surprise decision. The market has already started pricing out a rate cut for next month, with only a 30% chance of one now.

Market Price at 8:30am AEST Change Since Australian Market Close Percentage Change
AUD/USD 1.0755 -0.0015 -0.14%
ASX (cash) 4255 -1 -0.02%
US DOW (cash) 13024 7 0.05%
US S&P (cash) 1368.0 -1 -0.07%
UK FTSE (cash) 5945 -10 -0.17%
German DAX (cash) 6945 20 0.29%
Japan 225 (cash) 9497 12 0.13%
Rio Tinto Plc (London) 37.06 0.84 2.32%
BHP Billiton Plc (London) 20.78 0.55 2.72%
BHP Billiton Ltd. ADR (US) (AUD) closed - -
US Light Crude Oil (Apr) 105.26 -0.09 -0.09%
Gold (spot) 1735.0 0.0 0.00%
Aluminium (London) 2179.00 15 0.69%
Copper (London) 8236.00 61 0.75%
Nickel (London) 19755.00 130 0.66%
Zinc (London) 1982.00 37 1.90%
RBA Cash Rate to be decreased by 25bp (Mar) (%) 32.00 0 0.00%

© Scoop Media

Business Headlines | Sci-Tech Headlines


Hourly Wage Gap Grows: Gender Pay Gap Still Fixed At Fourteen Percent

“The totally unchanged pay gap is a slap in the face for women, families and the economy,” says Coalition spokesperson, Angela McLeod. Even worse, Māori and Pacific women face an outrageous pay gap of 28% and 33% when compared with the pay packets of Pākehā men. More>>


Housing: English On Housing Affordability And The Economy

"Long lead times in the planning process tend to drive prices higher in the upswing of the housing cycle. And those lead times increase the risk that eight years later, when additional supply arrives, the demand shock that spurred the additional supply has reversed. The resulting excess supply could produce a price crash..." More>>


Sweet Health: Sugary Drinks Banned From Hospitals And Health Boards

All hospitals and DHBs are expected to kick sugary drinks out of their premises. University of Auckland researcher, Dr Gerhard Sundborn who also heads public health advocacy group “FIZZ”, says he welcomes the initiative. More>>


NASA: Evidence Of Liquid Water On Today's Mars

Using an imaging spectrometer on MRO, researchers detected signatures of hydrated minerals on slopes where mysterious streaks are seen on the Red Planet. These darkish streaks appear to ebb and flow over time. More>>


Bird Brains: Robins Can Just Be Generally Clever

Research from Victoria University of Wellington has revealed that birds may possess a ‘general intelligence’ similar to humans, with some individuals able to excel in multiple cognitive tests. More>>


Psa-V: Positive Result On Whangarei Kiwifruit Orchard

Kiwifruit Vine Health (KVH) has received a Psa-V positive test result on Hort16A and male vines on a kiwifruit orchard in Whangarei. This is the first confirmed case of Psa-V on an orchard in the Whangarei region. More>>

Regional Accents: Are Microbes The Key To Geographical Differences In Wine?

A new study of six of New Zealand’s major wine-growing regions has found that differences in flavour and aroma of wine from different areas may depend more on microbes than was previously thought. More>>


Science: AgResearch To Cut Science Staff In Areas Of 'Reduced Demand'

“We are therefore consulting with our staff from today on a proposal to reduce science staff in areas of shrinking demand. Combined with recruitment planned in areas of growing demand, this would mean a net reduction of 15 scientists and 41 technicians at AgResearch in the 2015/16 year." More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news