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

 


IG Markets - Morning Prices Nov 20

Good morning,

Markets were largely risk-on throughout European and US trade as optimism that US politicians would find middle ground on the fiscal cliff helped spur a rally. Confidence is growing that a deal can be reached, as politicians from both parties continue to make some positive comments on working together to come up with a solution. Better-than-expected existing home sales data also helped to lift sentiment along with optimism that Greece will receive the next tranche of aid. As a result we saw gains of around 2% and above in US and European equities. Risk currencies also echoed big moves with AUD/USD surging to a high of 1.0418 and remaining steady above 1.04. EUR/USD spiked to a high of 1.282 after having languished below 1.28 for a while.

Ahead of the open, we are calling the Aussie market up 0.6% at 4389. It is likely to be a typical risk-on day with cyclical names leading the charge higher. Recently beaten down names in the industrials, materials and consumer space are likely to experience the biggest gains, while defensive names underperform. On the economic calendar, we have the RBA’s monetary policy meeting minutes due out at 11.30am. After the RBA decided to keep rates on hold this month, the minutes will be highly sort after as investors search for clues on whether we will finish off the year with another rate cut. Following the RBA’s statement, which accompanied the last rate decision, it certainly seems like it is happy with the current rate setting going into next year. The commentary will put the Aussie dollar firmly in focus, with AUD/USD eyeing the 1.044 level. Elsewhere in the region, Japan will be closely watched with the BoJ’s monetary policy statement and press conference set to hit the wires.

On a stock level, we expect to see a firmer start for BHP Billiton, with its ADR pointing to a 1.6% rise to $33.76. After a strong session for commodities, we are bound to see gains across the board in the resource space. Arrium will be in focus after yesterday’s trading update. The stock has been upgraded by Deutsche Bank to Hold (from Sell) and we are likely to see other brokers react to the trading update. Qantas will also remain in focus with the AFR reporting that the Emirates tie-up could be in doubt if an alternative proposal emerges. The airline has been subject to several headlines recently and this might continue to keep some investors at bay. Boart Longyear has been downgraded to Underperform (from Neutral) following yesterday’s earnings downgrade.

Market Price at 8:00am AEST Change Since Australian Market Close Percentage Change
AUD/USD 1.0415 0.0037 0.36%
ASX (cash) 4389 27 0.62%
US DOW (cash) 12771 144 1.14%
US S&P (cash) 1386.9 20.1 1.47%
UK FTSE (cash) 5734 82 1.45%
German DAX (cash) 7119 105 1.50%
Japan 225 (cash) 9215 47 0.52%
Rio Tinto Plc (London) 30.25 0.91 3.09%
BHP Billiton Plc (London) 19.42 0.69 3.70%
BHP Billiton Ltd. ADR (US) (AUD) 33.76 0.55 1.64%
US Light Crude Oil (December) 89.14 1.31 1.49%
Gold (spot) 1732.6 9.8 0.57%
Aluminium (London) 1977 -13 -0.67%
Copper (London) 7780 -34 -0.44%
Nickel (London) 16428 50 0.31%
Zinc (London) 2194 -35 -1.61%
Iron Ore 122.8 0.00 0.00%

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.

www.igmarkets.com


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>


Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news