"U.S. stocks stumbled Wednesday, as investors took a breather following seven consecutive days of gains that sent the Dow industrials to their highest level in over two years.
Investors directed their attention to Capitol Hill, as Federal Reserve Chairman Ben Bernanke testified before the House Budget Committee. The central bank chief said that despite a strengthening economic recovery, the unemployment rate remains high while inflation is "still quite low."
Bernanke also told lawmakers that they need a "credible program" to reduce the nation's growing deficit." [Source: cnnmoney.com]
"The economy is strengthening but Ben Bernanke still doesn't see the jobs market improving very much very soon, a view that points to an extended period of low interest rates. His view is no surprise and made for no impact on the financial markets where the Dow moved fractionally higher to 12,240.
Strengthening economic data have been easing demand for Treasuries and putting upward pressure on interest rates. But rates reversed some of their gains today following strong demand for the monthly 10-year note auction. The 10-year yield fell eight basis points on the day to 3.65 percent. Lower rates eased demand for the dollar with the dollar index down a half percentage point to 77.64. Commodities, many of which rallied strongly yesterday, held little changed today." [Source: bloomberg.com]
Market Focus in the US this evening
"Weather has badly been skewing initial jobless claims this winter. The four-week average will offer the best handle on today's report." [Source: bloomberg.com] ____________________________________________
The DJIA Index finished the last trading session: Up 6.74 points; and The SPI Futures are currently: Down 5 points atm. ____________________________________________
Of note in the US this evening:
BOE Announcement [ Market moving indicator]
Jobless Claims [ Market moving indicator]
Treasury Budget [ Merits extra attention]
...AND...
Of note in Australia today:
Unemployment Rate (Jan) [ Market moving indicator] [The Unemployment Rate release by the Australian Bureau of Statistics is the number of unemployed workers divided by the total civilian labor force. If the rate hikes, indicates a lack of expansion within the Australian labor market. As a result, a rise leads to weaken the Australian economy. A decrease of the figure is seen as positive (or bullish) for the AUD, while an increase is seen as negative (or bearish).]
Employment Change (Jan) [ Market moving indicator] [The Employment Change released by the Australian Bureau of Statistics is a measure of the change in the number of employed people in Australia. Generally speaking, a rise in this indicator has positive implications for consumer spending which stimulates economic growth. Therefore, a high reading is seen as positive (or bullish) for the AUD, while a low reading is seen as negative (or bearish).]
Consumer Inflation Expectation (Feb) [ Merits extra attention] [The Consumer Inflation Expectation released by the Melbourne Institute presents the consumer expectations of future inflation during the next 12 months. The higher expectations, the stronger the effect they will have on a probability of a rate hike by the RBA. Therefore, a high reading should be taken as positive, or bullish, for the AUD, while a low expectations are seen as negative or bearish.]
Gold is currently trading Down $0.40 & is sitting at US$1,363.80/oz atm [Source: Kitco] Oil is currently trading Down $0.23 & is sitting at US$86.71/bbl atm [Source: Bloomberg] The Dollar: The AUD is currently trading @ $1.0112c against the US Dollar [Source: Forex. Live] ____________________________________________
Market moving indicator]
Merits extra attention]
