Friday: 24th November 2017
Each Market In Focus
- The Australian share market looks set to open lower, with no real lead to offer direction with US markets closed for the Thanksgiving holiday.
- At 0700 AEDT on Friday, the share price futures index was down 14 points, or 0.23 per cent, at 5,978.
- Locally, no major economic news is expected on Friday.
- In equities news, Myer, Village Roadshow, Automotive Holdings, Kathmandu, AWE and Select Harvests have their annual general meetings scheduled for Friday.
- The Australian market on Thursday closed flat as gains in the resources sector were offset by falls by the banks and consumer related stocks.
- The benchmark S&P/ASX200 index fell 0.2 points at 5,986.2 points.
- The broader All Ordinaries index was down 0.1 points at 6,067.5 points.
- Meanwhile, the Australian dollar has lifted slightly against the greenback which has extended its losses from Wednesday.
US markets were closed on Thursday for the Thanksgiving holiday.
Gold prices were flat Thursday after two days of gains, with the precious metal hovering below an important technical level.
In midmorning trade in London, the price of gold was flat at $1,292.11 a troy ounce, just below the technically important $1,300 a troy ounce barrier.
Continued dollar weakness was balanced by profit-taking after recent gains.
Copper prices also inched down, falling 0.25% to $6,921.50 a metric ton, with the U.S. Thanksgiving holiday prompting lower trading volumes across commodities markets.
- IRON ORE: $64.80 +1.22( December contract )
Brent crude, the global oil benchmark, added 23 cents, or 0.4%, to $63.55 a barrel on London’s ICE Futures exchange.
Prices have risen by 2.1% over the past three sessions.
On Tuesday, Keystone pipeline operator TransCanada said flow from its crude pipeline to the U.S. would be reduced by 85% through the end of November after an oil spill last week.
A key U.S. dollar gauge traded around a one-month low Thursday, as the euro extended its advance on the back of a bright reading on eurozone business data and figures showing the German economy continues to grow.
Trading volume was expected to be light, with equity and fixed-income markets closed in the U.S. for the Thanksgiving Day holiday. Earlier Thursday, Japanese markets were closed for the Labor Thanksgiving Day holiday.
The ICE U.S. Dollar Index was off 0.1% at 93.136, around its lowest since Oct. 20, according to FactSet data.
That puts the index on track for a third straight losing session.
The broader WSJ U.S. Dollar Index also slipped by 0.1%, to 86.53.
The euro bought $1.1850, up from $1.1824 late Wednesday, when the euro jumped above $1.1800 and roughly up by 0.7% against the greenback.
The U.S. dollar lost ground against the Swiss franc, fetching 0.9808 francs compared with 1.0182 francs in the previous session.
The pound traded at $1.3302, down from $1.3324.
Sterling on Wednesday climbed about 0.7%, marking a seventh straight advance and the longest winning streak since late June.
The U.S. dollar against the Japanese yen bought ¥111.25, little changed from ¥111.22.
The greenback was up against the Canadian dollar. It traded at C$1.2720, up from C$1.2698.
The Australian dollar is higher against its US counterpart which has sustained further losses as investors trim bets on the outlook for US interest rate rises in 2018.
At 0635 AEDT on Friday, the Australian dollar was worth 76.24 US cents, up from 76.19 US cents on Thursday.
- A fall in Centrica’s shares weighed on British stocks on Thursday, but a rebound in housebuilders and a weak pound provided enough support to recoup most of the morning’s losses.
- Britain’s blue chip FTSE 100 index closed flat, down 0.02 per cent at 7417.24 points.
- Centrica was by far the biggest faller, down 15.5 per cent – its biggest one-day loss since listing in 1997, after the utility gave a disappointing trading update.
- Centrica said it had lost 823,000 energy supply customers in four months.
- The pan-European STOXX 600 index ended flat, while euro zone blue chips erased early losses to trade up 0.3 per cent after business surveys for the bloc cemented optimism on the economy.
- Germany’s DAX was also flat, down 0.05 per cent, at 13,008.55 Euro zone businesses boomed in November with flash composite, services and manufacturing PMIs beating all forecasts in Reuters polls.
- MSCI’s broadest index of Asia-Pacific shares outside Japan eked out a fresh 10-year peak with a rise of 0.15 per cent.
- Japan’s markets were closed for a public holiday on Thursday. Hong Kong stocks ended Thursday sharply lower, with the benchmark Hang Seng falling back below the 30,000 point mark after the previous session’s breakthrough, as a tumble in mainland stocks soured sentiment.
- The Hang Seng index fell 0.99 per cent, to 29,707.94, while the China Enterprises Index lost 1.9 per cent, to 11,737.06 points, the lowest level in a month.
- Most of the damage was done in the last hour of trading.
- Chinese shares tumbled with the blue-chip index suffering its worst fall in nearly 1-1/2 years as worries about a selloff in the bond market bled into equities.
- Consumer and healthcare firms led the fall and dragged the CSI300 index down sharply by 2.96 per cent, to 4102.40, its biggest fall in percentage terms since June 13, 2016.
- The broader Shanghai Composite Index lost 2.29 per cent to 3351.99 points, its worst day since last December.
- The S&P/NZX 50 Index fell 0.04 per cent, to 8101.95
Important News Events For Today
“Quality is not an act, it is a habit”. – Aristotle
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