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In Australia yesterday:
XJO down -0.51%. A three-day reversal pattern suggests we are headed back to the lower edge of the up-trend channel.
Telecoms -3.9% and Materials -1.3% did the most damage. Fun and games are being played in the Telcos after TPG and Vodafone announced a merger on Thursday. Telcos were up +3.6% on Thursday, then gave all that and a bit more on Friday. Who’s right?
Overnight:
Blue Chips and Large Caps were flat. Tech. and breadth were better.
Dow Jones -0.09%. SP500 +0.01%. Nasdaq +0.26%. Russell 2000 +0.48%.
SP500:
The flat finish on the SP500 did nothing to resolve the question of the next move. The Index is sitting on the topside oblique trend line. At this stage the chart pattern looks like a bull-flag, but that could be changed easily in one big down day. At this stage the next move seems likely to be upside. Wait.
Commodities:
Commodity prices were also generally flat, but Copper Miners were down strongly.
DBC +0.12%. Base Metals -0.06%. Energy -0.09%. Gold -0.11%. Copper Miners +1.52%.
Australian Futures last night finished on the high side, up 0.41%. That looks a little optimistic to me.
BHP in NY was down -1.33% but the Ozzie dollar was down >1%. BHP in Australia yesterday was down -1.69%, so the overnight performance by BHP in NY wasn’t too negative. Rio did even better than BHP down just -0.46%. So maybe the miners will do OK on Monday, and the Futures are not telling lies.
(20min delay)