daytrades november 5 morning ...

Happy Mufti Day Traders,

DOW Snapshot from previous trading session

"U.S. stocks rallied Thursday, with all three major indexes finishing at two-year highs, as investors continued to cheer the Federal Reserve's announcement to pump $600 billion into the economy.

The Fed said Wednesday it will buy $600 billion of U.S. Treasuries by the middle of next year. The additional stimulus, referred to as quantitative easing, is the Fed's latest stab at lowering interest rates and combating deflation -- a move it hopes will help prop the sluggish economy.

The announcement was met with a tepid response Wednesday, but markets around the world surged Thursday. Commodities went along for the ride, with oil jumping 2% and gold rallying 3%. Treasuries also rose as investors looked to get in on the buying action ahead of the Fed.

"QE2 is hitting the market big time," said Peter Tuz, president at Chase Investment Counsel. "The rally really took off overnight with global markets and commodities, then spread to the U.S., and now we're seeing it just take off."

While Wall Street may be happy to finally get clarity about the Fed's plans, investors still have mixed feelings about how effective it will be.

"I think investors are all over the place with their feelings," said J. Bryant Evans, a portfolio manager at Cozad Asset Management. "There's a lot of polarity about whether we even need quantitative easing at this point or whether it's a hindrance.

But are traders too enthusiastic ahead of Friday's key unemployment report? Maybe not. There seems to be a growing sense that the labor market may actually be turning around -- albeit at an uncomfortably slow pace. Economists are forecasting that an average of 68,000 jobs were added to the nation's payrolls last month, according to a survey by CNNMoney.com. The private sector is expected to have added 92,000 jobs." [Source: cnnmoney.com]

The DJIA Index finished the trading session Up 219.71; and
The SPI Futures are currently: Up 74 pts atm.

Of note in the US this evening:

Ben Bernanke speaks Announcement [Market moving indicator]

Employment Situation [Market moving indicator]

Pending Home Sales Index [Market moving indicator]

Consumer Credit (Sep) [Moderate volatility expected]

...AND...

Of note in Australia today:

RBA Monetary Policy Statement (Nov) [High volatility expected]
[The RBA Monetary Policy Statement released by the Reserve bank of Australia reviews economic and financial conditions, determines the appropriate stance of monetary policy and assesses the risks to its long-run goals of price stability and sustainable economic growth. It is considered as a clear guide to the future RBA interest rate policy. Any changes in this report affect the AUD volatility. If the RBA statement shows a hawkish outlook, that is seen as positive (or bullish) for the AUD, while a dovish outlook is seen as negatvie (or bearish).]

Gold is currently trading Down $2.00 & is sitting at US$1,390.90/oz atm [Source: Kitco]
Oil is currently trading Up $0.17 & is sitting at US$86.66/oz atm [Source: Bloomberg]
The Dollar: The AUD is currently trading @ 1.01468 cents to the US Dollar[Source: Forex. Live]

Have a great day trading today all.

Cheers, Tweets

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