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

 


IG Markets - Morning Thoughts

IG Markets - Morning Thoughts


Risk assets were mixed on Friday with US equities getting a lift from another round of positive economic data, while Greece concerns weighed on European equities. Greece remains in a bad place at the moment, with some saying it could run out of funding within weeks. Apart from Europe, the rest of the world seems to be in a better place with economic releases from the US and China showing strong signs of improvement. Consumer sentiment data in the US came in well above expectations and lifted risk assets in US trade. China data from the weekend showed a big jump in the trade surplus, with exports rising at the fastest pace in five months. AUD/USD came off lows at around 1.036 and went on to retest 1.04. However, EUR/USD was capped by Greece fears but has managed to hold on to 1.27.

Ahead of the open, we are calling the Aussie market relatively flat at 4457. AUD/USD has gotten a good start to the week and gapped higher from Saturday’s close in response to China’s data releases. Positive China data is likely to give risk a kicker this morning and we could see cyclical names get off to a strong start. On the local economic front, we have home loans data and NAB business confidence data due out at 11.30am. However, this is likely to be a sideshow to another Chinese data dump this week, with the M2 money supply and new loans data due at some stage over the next couple of days. Elsewhere in the region, there is plenty of data out of Japan with GDP, tertiary industry activity, machine orders and a speech by BoJ Governor Shirakawa all on the calendar. This is likely to result in a big day for regional currencies, with some key levels being tested.

On a stock level, we expect to see a mildly softer start for BHP Billiton, with its ADR pointing to a 0.6% fall to $34.26. Commodities were mixed with some strong gains for oil, while iron ore edged higher and extended its gains above US$120. This will put the local energy names firmly in focus, while confidence will continue to return to the iron ore names. Lynas shares will be one to watch as the stock is set to return to trade after a favourable ruling on its operating licenses. The company is also looking to raise $200 million to fund the completion of its processing facility in Malaysia. We also have Incitec Pivot and Orica reporting today.

Market Price at 9:00am AEST Change Since Australian Market Close Percentage Change
AUD/USD 1.0395 -0.0027 -0.25%
ASX (cash) 4457 -5 -0.11%
US DOW (cash) 12812 -54 -0.42%
US S&P (cash) 1379.7 -4.6 -0.33%
UK FTSE (cash) 5764 -10 -0.18%
German DAX (cash) 7159 -60 -0.84%
Japan 225 (cash) 8740 -34 -0.38%
Rio Tinto Plc (London) 30.99 0.15 0.48%
BHP Billiton Plc (London) 19.52 -0.01 -0.05%
BHP Billiton Ltd. ADR (US) (AUD) 34.26 -0.20 -0.58%
US Light Crude Oil (December) 86.07 0.66 0.77%
Gold (spot) 1731.3 -3.6 -0.21%
Aluminium (London) 1921 -9 -0.46%
Copper (London) 7570 -120 -1.56%
Nickel (London) 15950 -282 -1.73%
Zinc (London) 2199 -18 -0.80%
Iron Ore 122.1 0.70 0.58%

IG Markets provides round-the-clock CFD trading on currencies, indices and commodities. The levels quoted in this email are the latest tradeable price for each market. The net change for each market is referenced from the corresponding tradeable level at yesterday’s close of the ASX. These levels are specifically tailored for the Australian trader and take into account the 24hr nature of global markets.

Please contact IG Markets if you require market commentary or the latest dealing price.

www.igmarkets.com

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Scoop Business: NZ Broadcasters Launch Battle Against Global Mode ISPs

New Zealand broadcasters have confirmed they’ve launched legal proceedings against internet service providers who give customers’ access to “global mode”, which allows customers access to offshore online content, claiming it breaches the local content providers’ copyright. More>>

ALSO:

Sanford: Closure Of Christchurch Mussel Processing Plant Confirmed

The decision comes after a period of consultation with the 232 staff employed at the Riccarton site, who were told on 9 April that Sanford was considering the future of mussel processing in Christchurch. Recent weather patterns had impacted on natural spat (offspring) supply... More>>

ALSO:

Price Of Cheese: Dairy Product Prices Fall To The Lowest This Year

Dairy product prices fell in the latest GlobalDairyTrade auction, hitting the lowest level in the 2015 auctions so far, as prices for milk powder and butter slid amid concern about the outlook for commodities. More>>

ALSO:

Houston, We Have An Air Route: Air New Zealand To Fly Direct To The Heart Of Texas

Air New Zealand will fly its completely refitted Boeing 777-200 aircraft between Auckland and Houston up to five times a week opening up the state of Texas as well as popular nearby tourist states such as Louisiana and Florida. More>>

ALSO:

Scoop Business: Reserve Bank’s Spencer Calls On Govt To Rethink Housing Tax

The Reserve Bank has urged the government to take another look at a capital gains tax on investment in housing, allow increased high-density development and cut red tape for planning consents to address an over-heated Auckland property market. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news