Day trading pre-market open August 8

Morning traders. Thanks loungers, especially @Ravgnome.


Outlook for the day: Negative after US stocks mostly gave up early gains, and key commodities retreated.

ASX futures: down 25 points or 0.28%


Overnight themes: ​

• US stocks closed mixed but mostly lower as investors weighed mixed corporate earnings, more tariff announcements, weak demand at a bond auction and an increase in claims for unemployment benefits.​
• The S&P 500 faded to a loss of 0.08%. A tariff warning from Caterpillar helped drag the Dow Jones Industrial Average down 224 points or 0.51% after earlier rising more than 300 points. Gains in chip stocks and Apple helped the Nasdaq Composite gain 0.35%.​
• Pharmaceutical giant Eli Lilly was the biggest drag on the S&P 500, plunging 14.14% to its heaviest loss in 26 years after its oral weight-loss pill fell short of expectations. Results from the experimental drug compared poorly to those announced by Novo Nordisk for a rival oral candidate back in March. Caterpillar declined 2.48% after reporting an 18% dive in operating profits and warning tariffs will knock a hole in earnings. ASX-listed Aferpay-owner Block jumped 5.1% in recent US after-hours trade after reporting this morning. ​
• Chip stocks rallied after President Donald Trump announced a 100% tariff on imported semiconductor chips from any company that does not manufacture in the US. AMD rallied 5.69%. Nvidia put on 0.75%. Apple gained another 3.18% after offering the White House an olive branch in the form of an additional US$100 billion investment in the US. ​
• Treasury yields crept higher after an auction of 30-year US bonds attracted weak demand. The bid-to-cover ratio (a key measure of demand) was the weakest since November 2023. 30-year treasuries sold down after the auction, lifting the yield 1.6 basis points. Last night's auction followed an equally disappointing 10-year auction on Wednesday, a pattern that - it it continues - would indicate a growing lack of appetite for US debt. Deutsche Bank described Wednesday's result as "worrisome". ​
• First-time claims for jobless benefits increased last week to the highest in a month. ​
• Sectors that compete with the bond market for investment flows were among the night's best performers. Utilities, consumer staples and real estate all gained. Tech firmed 0.41%. Materials added 0.39%. Drags included health, financials and energy. ​
• Gold pushed back towards a two-week high as the latest US tariffs came into force and the greenback retreated, boosting support for alternative stores of wealth. Trump announced a 100% tariff on imported semiconductors as duties ranging from 10% up to 50% on dozens of trading partners came into force overnight. "Uncertainty is back in focus, especially with the latest developments on the tariff front, which is reviving safe-haven demand. We are also seeing support from broader macro sentiment, particularly with a softer U.S. dollar and growing expectations of Fed rate cuts," ANZ Commodity Strategist Soni Kumari said. Spot gold firmed US$26.37 or 0.78% to US$3,395.40 per ounce. Earlier, US gold futures settled US$20.30 or 0.6% ahead at US$3,453.70. ​
• BHP and Rio Tinto rose in US trade despite a modest decline in iron ore after Brazil reported a record month for ore exports. Brazil exported 41.1 million metric tons of ore in July. Benchmark ore on the Dalian Commodity Exchange ended daytime trade 0.25% weaker at US$110.47 a metric ton. BHP and Rio Tinto both gained around 1.1% in US trade after finishing little changed in UK action. ​
• Copper finished little changed in European trade as caution over the White House's barrage of tariff announcements balanced better-than-expected Chinese trade figures. Chinese exports expanded 7.2% last month year-on-year, defying forecasts of a contraction ahead of Trump's August 1 deadline for trade deals. "China's strong exports data has provided positive sentiment for the industrial metals," BNP Paribas analyst David Wilson told Reuters. However, benchmark copper on the London Metal Exchange faded to a modest loss of less than 0.1% at US$9,670.50 per metric ton. Nickel also dipped, while aluminium, tin, zinc and lead all rose. ​
• Oil's losing run extended into a sixth session after the Kremlin confirmed President Vladimir Putin will meet US President Trump, sharpening hopes for an agreement that could reduce sanctions on Russian crude. Brent crude settled 46 US cents or 0.69% lower at US$66.43 a barrel. ​

Key events today: ​

• Earnings season: QBE, Block, Nick Scali, Centuria Industrial REIT and Avita Medical (source: CommSec) ​

S&P 500: down 5 points or 0.08%

Dow: down 224 points or 0.51%

Nasdaq: up 73 points or 0.35%

VIX: down 1.19% to 16.57

US 10-year treasury yield: up 2.1 points to 4.253%

Dollar: up 0.27% to 65.17 US cents

Iron ore (Dalian): down 0.25% to US$110.47

Brent crude: down 46 US cents or 0.69% to US$66.43

Gold (futures): up US$20.30 or 0.6% to US$3,453.70

Gold (spot): up US$26.37 or 0.78% to US$3,395.40

Silver (spot): up 43 US cents or 1.14% to US$38.27

Palladium (spot): up US$16.50 or 1.44% to US$1,159

Antimony (China ore): up 0.08% to US$19,784

NYSE Arca Gold Bugs: up 0.86%

Bitcoin: up 1.82% to US$117,264

Copper (LME): down 0.06% to US$9,670.50

Nickel (LME): down 0.1% to US$15,115

Lithium carbonate (China spot battery grade): up 0.29% to 8,737 yuan

Global X Lithium & Battery Tech ETF: up 1.61%

Uranium (spot): steady at US$72

Global X Uranium ETF (URA): down 1.46%

BHP: up 1.11% (US); up 0.03% (UK)

Rio Tinto: up 1.13% (US); down 0.09% (UK) ​