The share market marked time at the end of a strong start to 2017 following news of the first trade surplus in almost three years.
At 1pm EST the ASX 200 was one point or less than 0.1% lower at 5752 at the halfway mark of a 'consolidation' session. The index traded in a tight 15-point range as gains in gold stocks +1.2%, telecoms +0.8% and industrials +0.5% were cancelled out by falls in IT -0.7%, consumer staples -0.4% and materials -0.3%.
Overnight, there were signs of a possible sea change in recent market trends, including a decline in the US dollar and a strong rally in the Chinese yuan. The Australian dollar was lately buying 73.33 US cents.
"At this stage, stock markets appear to be holding the line despite the correction of the post-US election moves in the US dollar and bond markets that is now well and truly under way," CMC chief market analyst Ric Spooner told Fairfax.
The morning's economic news included the first trade surplus since March 2014. An 8% surge in exports during November due to improved prices for iron ore and coal lifted the trade balance to a surplus of $1.2 billion. Imports were flat.
China's Shanghai Composite rose 0.07% and Hong Kong's Hang Seng 0.34%. Japan's Nikkei shed 0.42%. Dow futures were recently ahead two points or 0.01%.
Crude oil futures reversed six cents or 0.11% this morning to US$53.70 a barrel. Gold futures were $3.50 or 0.3% softer at US$1,177.80 an ounce.
Market looks content to tread water ahead of tonight's US jobs reports, which may or may not be a market-mover. Most likely not - most come in near enough to expectations not to matter - but now and then we get an outlier. Increasingly the US feels like a market looking for a reason to sell off, so it may not take much. ASX feels more robust right now, but that can change in a session. Trading: wanted BUB just a little lower but didn't get there. Tentative dabs in NUH and RBO to little effect so far.
