Good morning - opening up the thread nice and early for those who are chomping at the bit to get their trading day underway (get the pun @sobar?) Thanks to the Aftermarket Loungers especially @Ravgnome and @Patterns.
Here's a preliminary report from Netwealth. Shall add the reputable Market Herald one as it becomes available.
Miners and energy providers have helped offset an otherwise negative Australian share market and the indices were little changed.
The market on Monday defied a negative US lead from Friday, although the ASX underperformed most Asian markets.
Materials shares, which include the miners, were the best performers and rose 1.36 per cent.
The benchmark S&P/ASX200 index closed down 6.2 points, or 0.08 per cent, to 7447.1 points.
The All Ordinaries index closed lower by 8.3 points, or 0.11 per cent, to 7766.1 points.
The Australian dollar was buying 71.93 US cents at 1620 AEDT, higher from 71.59 US cents at Friday’s close.
And in the US of A.
Wall Street's main indexes tumbled on Monday, as heavyweight technology stocks dropped on expectations of a sooner-than-expected rate hike that pushed U.S. Treasury yields to fresh two-year highs.
The Nasdaq (.IXIC) fell as much as 10.37% below its intraday record level reached on Nov. 22. It was last trading around 9% below its Nov. 19 closing record. To confirm a correction the index would need to close 10% or more below the record close.
Megacap companies including Apple Inc (AAPL.O), Amazon.com Inc , Microsoft Corp (MSFT.O) and Meta Platforms Inc (FB.O) fell between 2.1% and 4.4%.
The S&P 500 consumer discretionary (.SPLRCD), technology (.SPLRCT) and communication services (.SPLRCL) sectors, housing major growth companies, fell the most among the 11 major S&P sectors.
"Big tech companies should do fine because rising rates don't really affect them too much," said Randy Frederick, managing director of trading and derivatives at Charles Schwab in Austin, Texas.
"But, they are getting dragged down by the fact that people are selling off the unprofitable, heavily leveraged, heavily indebted newer tech companies that have gone public recently, especially the ones that were SPACs (special purpose acquistion companies)."
Frederick expects the tech selloff to go on "till at least the next Fed meeting, which is around January 26."
The S&P 500 (.SPX) and the Nasdaq indexes were on course for their fifth straight day of declines as growth stocks tumbled after investors began to recalibrate their portfolios to account for a more hawkish Federal Reserve.
Goldman Sachs expects the Fed to raise rates four times in 2022, compared to its previous forecast of three. read more
Traders have ramped up their rate hike expectations this year after the Fed's minutes from the December meeting suggested an earlier-than-expected rate rise.
The benchmark 10-year Treasury yield rose to its highest level in nearly two years, boosting value-oriented banks index (.SPXBK) to a fresh record high. read more
Tesla (TSLA.O) dropped 1.8% after Chief Executive Elon Musk tweeted on Friday that the electric carmaker will raise the U.S. price of its advanced driver assistant software. read more
Microsoft fell 2.5% after a media report that the software company has been losing its augmented-reality talent to peers like Meta Platforms.
Investors await inflation data this week for cues on consumer and producer prices, and whether they will sway the trajectory of the Fed's interest rate hikes.
At 12:18 p.m. ET, the Dow Jones Industrial Average (.DJI) was down 457.01 points, or 1.26%, at 35,774.65, the S&P 500 (.SPX) was down 76.38 points, or 1.63%, at 4,600.65, and the Nasdaq Composite (.IXIC) was down 329.15 points, or 2.20%, at 14,606.75.
Nike fell 5.1% after HSBC downgraded the stock to "hold".
Declining issues outnumbered advancers for a 4.18-to-1 ratio on the NYSE and for a 3.89-to-1 ratio on the Nasdaq. The S&P index recorded 37 new 52-week highs and five new lows, while the Nasdaq recorded 58 new highs and 573 new lows.
In Europe.
European stocks were subdued in cautious trade on Monday amid surging ovid-19 infections around the world and an increasingly uncertain interest rate outlook.
The overall number of coronavirus cases is fast approaching 307 million with the spread of the Omicron variant of the virus across the globe.
The first U.S. rate hike could be in March, with Goldman expecting the Fed to raise borrowing costs at least four times by the end of 2022 versus the previous prediction of three rate hike.
The pan European Stoxx 600 slipped 0.2 percent to 485.42 after declining 0.4 percent on Friday.
The German DAX, France's CAC 40 index and the U.K.'s FTSE 100 were down between 0.1 percent and 0.2 percent.
For brekkie this morning I am taking you to Ennetbuergen in Switzerland. Enjoy the view.
Happy trading. Was going to head off for a walk in the bush but it's started to rain. Might have to take the brolly and go anyway.
