12 September 2017 Day Trading Pre Market

Good Morning Fellow Traders,

The Australian share market has closed higher as investors took some comfort from North Korea refraining from any more provocative missile launches over the weekend.
The benchmark S&P/ASX200 index was up 40.5 points, or 0.7 per cent, at 5,713.1 points, with all sectors except for mining and gold making gains.

Investors were cautious at the end of last week as speculation mounted that North Korea might test launch a ballistic missile to celebrate the anniversary of the country's foundation over the weekend.
CMC Markets chief market strategist Michael McCarthy said it was a good day for share markets across the Asia-Pacific region, with Australia, Japan, South Korea, Singapore and Hong Kong making gains.

"Investors are piling back into the market, we're seeing an easing of volatility indices," Mr McCarthy said.
"The anticipated missile launch that didn't occur has now got investors keener to take on some risks."

The big four banks - Commonwealth Bank, National Australia Bank, Westpac and ANZ - lifted between 1.4 and 2.2 per cent, led by ANZ.
Investment bank Macquarie Group rose $2.45, or 3.0 per cent, to $85.15 after flagging an improved first-half result due to stronger performance fees.

Energy stocks were mixed, after global oil prices dropped on Friday due to concerns Hurricane Irma would reduce oil demand in the US in the short term.
Woodside Petroleum was down 0.1 per cent at $28.85, and Santos lifted 2.6 per cent to $3.95.
In the resources sector, global miner BHP Billiton dipped 1.8 per cent to $26.80, Rio Tinto slipped 1.42 per cent to $67.53, and Fortescue Metals backtracked 0.7 per cent to $5.81, after base metal prices tumbled between three to five per cent.

Among other stocks, gaming firm Tabcorp climbed 11 cents, or 2.7 per cent, to $4.16 after independent expert Grant Samuel confirmed Tatts shareholders are getting a fair deal in the proposed $11 billion merger of the two gaming groups, moving it one step closer.
Tatts was four cents, or 1.0 per cent, higher at $3.95.

Meanwhile, the Australian dollar has eased after commodities markets reversed but is still above the 80 US cents level against a weaker US dollar.
The Aussie was trading at 80.37 US cents at 1700 AEST, from 81.00 US cents on Friday
ON THE ASX:
* At 1630 AEST, the benchmark S&P/ASX200 was up 40.5 points or 0.71 per cent, at 5,713.1 points.

In the U.S. the S&P 500 surged over 1 percent to a record high close on Monday as tropical storm Irma caused less damage than expected in Florida, and after North Korea did not test-fire missiles over the weekend, which some had feared.

All 11 major S&P 500 sectors rose, led by financial stocks, with insurers advancing as Irma, once ranked as one of the most powerful hurricane recorded in the Atlantic, lost power.
Irma caused severe flooding in many Florida cities and left more than 6 million homes and businesses without power, but damage appeared to be less than expected. That relieved investors, especially in the wake of Hurricane Harvey, whose devastation is estimated to dent third-quarter economic growth.

Geopolitical tensions eased after North Korea did not mark its founding day on Saturday with another launch of a long-range missile, which the United States and its allies had been bracing for.
“It is a risk back on situation, people are going back into the market,” said Neil Massa, senior equity trader at Manulife Asset Management in Boston. “For now, it is a relief rally for things on both ends - geopolitical and weather wise.”

The Dow Jones Industrial Average .DJI rose 1.19 percent to end at 22,057.37 points in its largest one-day gain since February.
The S&P 500 .SPX gained 1.08 percent to 2,488.11 and the Nasdaq Composite .IXIC added 1.13 percent to 6,432.26.
The CBOE volatility index .VIX, a widely-followed measure of market anxiety, fell 1.36 points to 10.76.
The S&P 500 financial index .SPSY jumped 1.74 percent, with JPMorgan (JPM.N) up 2.18 percent and insurer Travelers (TRV.N) up 2.34 percent.

With investors less worried about Irma’s impact, insurers Universal Insurance Holdings (UVE.N) and HCI Group (HCI.N) surged more than 12 percent, while Heritage Insurance (HRTG.N) soared 21 percent.
So far in 2017, the S&P 500 has risen 10 percent. It is trading near 17.6 times expected earnings, compared to its 10-year average of 14.3, according to Thomson Reuters Datastream.

“Valuations don’t bother me terribly,” said Tim Ghriskey, chief investment officer of Solaris Group in Bedford Hills, New York. “I don’t think we’re at a level where valuations themselves are going to cause a correction.”

Apple (AAPL.O) rose 1.81 percent a day ahead of the expected launch of a new iPhone, providing the biggest boost to the Nasdaq and S&P 500.
Tesla (TSLA.O) jumped 5.91 percent on news that China was studying when to ban the production and sale of cars using traditional fuels.

Advancing issues outnumbered declining ones on the NYSE by a 3.73-to-1 ratio; on Nasdaq, a 2.56-to-1 ratio favored advancers.
About 6 billion shares changed hands in U.S. exchanges, above the 5.8 billion daily average over the last 20 sessions.

Source: Netwealth Morning Business Roundup

On the menu this morning is a Mediterranean Breakfast Salad and a glass of tomato juice.



Happy Trading!!