12 October 2017 Day Trading Pre Market

Good Morning Fellow Traders,

The Australian share market has gained ground due to a positive lead from overseas markets, an upgrade of the International Monetary Fund's global economic growth forecasts, and stronger prices for copper and oil.
The benchmark S&P/ASX200 index rose 0.6 per cent to 5,772.1 points, the first time it has broken through the technical hurdle of 5,750 points in almost two months, OptionsXpress market analyst Ben Le Brun said.

"We've got all sectors except materials pretty well much firing on all cylinders, so there's plenty of green across the screen," he said.
"We had a record lead-in from Wall Street, we had the IMF upgrading global growth forecasts, and a softer US dollar as well, which led us in nicely on oil and copper."

The IMF has raised its forecast for global growth to 3.6 per cent in 2017 and 3.7 per cent in 2018 - up 0.1 per cent for both years, and marking the fastest growth since 2010.
Mr Le Brun said trading volumes were still low, and investors are waiting on the quarterly company earnings season in the US and the local annual general meeting season, which begins next week.

In the resources sector, BHP Billiton added 0.5 per cent to $26.63, Rio Tinto eased 0.6 per cent to $68.77, and Fortescue Metals fell 1.8 per cent to $4.96.
Oil and gas producer Woodside Petroleum lifted 1.3 per cent to $29.06, Santos gained 0.7 per cent to $4.07 and Oil Search ascended 0.4 per cent to $7.11.

The major banks were slightly higher, with Westpac the strongest, adding 0.7 per cent to $32.64, while Commonwealth Bank was the weakest, remaining steady at $76.35.

The consumer discretionary sector was one of the market's best performers, as Flight Centre gained four per cent to $45.42, Domino's Pizza gained 3.1 per cent to $46.79 and The Star Entertainment Group was 2.5 per cent higher at $5.26.

Infant milk formula supplier Bellamy's Australia surged $1.05, or 12 per cent, to $9.78 after it ended the corporate regulator's investigation into its market disclosures in 2016 by paying a fine of $66,000, without admitting guilt or liability.

The Australian dollar rose past 78 US cents in morning trade but eased in the afternoon as buying in the US dollar picked up, and ended the local session marginally weaker than Tuesday.

ON THE ASX:
* The benchmark S&P/ASX200 was up 34 points, or 0.59 per cent, at 5,772.1 points at 1630 AEDT.
* The broader All Ordinaries index was up 33.7 points, or 0.58 per cent, at 5,840.8 points.
* The September SPI200 futures contract was up 25 points, or 0.44 per cent, at 5,743 points.
* National turnover was 3.6 billion securities traded worth $5.2 billion.

CURRENCY SNAPSHOT AT 1700 AEDT:
One Australian dollar buys:
* 77.85 US cents, from 77.86 US cents on Tuesday
* 87.49 Japanese yen, from 87.73 yen
* 65.88 euro cents, from 66.15 euro cents
* 59.01 British pence, from 59.13 pence
* 109.97 NZ cents, from 110.17 NZ cents

GOLD:
The spot price of gold in Sydney at 1700 AEDT was $US1,288.33 per fine ounce, up from $US1,286.62 per fine ounce on Tuesday.

BOND SNAPSHOT AT 1630 AEDT:
* CGS 4.50 per cent April 2020, 2.0127pct, from 2.01pct on Tuesday
* CGS 4.75pct April 2027, 2.769pct, from 2.779pct
Sydney Futures Exchange prices:
* December 2017 10-year bond futures contract was at 97.155 (implying a yield of 2.845pct) from 97.14 (2.86pct) on Tuesday
* December 2017 3-year bond futures contract was at 97.84 (2.16pct), unchanged.
(*Bond market closes taken at 1630 AEDT previous local session; currency closes taken from 1700 AEDT previous local session)

U.S. Treasury prices and stocks worldwide were little changed on Wednesday after minutes from the Federal Reserve’s September policy meeting were in line with expectations, while the euro was higher after Catalonia held off on moving to independence.

The euro move helped push the dollar index down for the fourth day in row. The dollar briefly extended its drop after Fed minutes showed that policymakers had a prolonged debate about the prospects of a pickup in inflation and the path of future interest rate rises if it did not.
Wall Street’s major stock indexes clung to small gains as a jump in shares of defensive sectors such as utilities was offset by declines in sectors such as financials a day before the start of the quarterly corporate reporting season.

“Third-quarter results of large banks are expected to be tepid,” said Stephen Biggar, an analyst at Argus Research. “Trading revenue (will be) down due to low volatility and loan growth remaining flat to slightly negative.”
The Dow Jones Industrial Average .DJI was up 22.61 points, or 0.1 percent, to 22,853.29, the S&P 500 .SPX gained 2.01 points, or 0.08 percent, to 2,552.65 and the Nasdaq Composite .IXIC added 8.79 points, or 0.13 percent, to 6,596.04.

The euro reached a roughly two-week high after Catalonia’s leader, Carles Puigdemont, declined to make a formal independence declaration on Tuesday to allow for talks with Madrid. That disappointed many pro-independence supporters but pleased financial markets.
A 1.3-percent jump in Spain's IBEX .IBEX more than reversed the previous session's fall while the broader equities market showed a lackluster performance.
The pan-European FTSEurofirst 300 index .FTEU3 lost 0.01 percent and MSCI's gauge of stocks across the globe .MIWD00000PUS gained 0.16 percent.

Meanwhile, the dollar index .DXY fell 0.33 percent, with the euro EUR= up 0.4 percent to $1.1853.
It was also affected by U.S. President Donald Trump’s spat with Tennessee Senator Bob Corker - an influential fellow Republican - which raised concerns that Trump’s tax reform push may be in jeopardy.

U.S. Treasuries were little changed after the Fed minutes and after the Treasury Department saw solid demand for three-year and 10-year note supply.

Benchmark 10-year notes US10YT=RR were virtually unchanged in price to yield 2.3445 percent, from 2.345 percent late on Tuesday.
The 30-year bond US30YT=RR was last up 3/32 in price to yield 2.8768 percent, from 2.881 percent late on Tuesday.

Oil prices were virtually unchanged on Wednesday as Saudi Arabia said it pumped more in September than in August, even as OPEC forecast higher demand for 2018.
U.S. crude CLcv1 rose 0.73 percent to $51.29 per barrel and Brent LCOcv1 was last at $56.88, up 0.48 percent.

Gold prices were barely up after declining in the previous session. Spot gold XAU= added 0.2 percent to $1,289.80 an ounce.

Source: Netwealth Morning Business Roundup

A Mexican Vegetarian Scramble and a Berry Banana Smoothie for your breakfast dining pleasure this morning.




Some robust discussion in the AM Lounge last night. Happy Trading especially for those doing it tough!!