Day trading pre-market open August 6

Morning traders. Thanks loungers, especially @Ravgnome and @Patterns.

Outlook for the day: Futures action indicates the ASX may build on yesterday's record close despite weakness on Wall Street and a mixed session on commodity markets.

ASX futures: up 11 points or 0.13%

Overnight themes:

US stocks retreated as soft economic data and tariff worries weighed on buying interest.

The S&P 500 declined 0.49% to its fifth loss in six sessions. The Dow Jones Industrial Average eased 62 points or 0.14%. The Nasdaq Composite gave up 0.65%.

“Today we’re seeing the market pull back a little bit, [but] equities have been on a nice run. We’re probably due for a period of consolidation, some backing and filling, so to speak,” Terry Sandven, chief equity strategist at U.S. Bank Asset Management, told CNBC. “Clearly, valuations are elevated. This is not a cheap market.”

Tariffs dominated much of the night's headlines as companies cited the new duties for increasing costs and US President Donald Trump reaffirmed his intention to tariff imports of pharmaceuticals and semiconductors. Caterpillar announced a drop in revenue and warned tariffs could knock up to US$1 billion off earnings this year. Yum Brands also cited tariff worries as weighing on consumer demand as its Q2 earnings and revenue fell short of analyst expectations. Hotel group Marriott International downgraded its annual forecast, citing a slowdown in travel demand.

President Trump told CNBC tariffs on chips and pharmaceuticals were coming soon. “We’re going to be announcing on semiconductors and chips, which is a separate category, because we want them made in the United States,” Trump said, adding that an announcement would come "within the next week or so".

Soft services-sector data underscored the threat of stagflation following Friday's grim jobs data. The Institute for Supply Management's services PMI fell to 50.1 last month from 50.8 in June, missing expectations for a stronger increase in activity. “July’s PMI level continues to reflect slow growth, and survey respondents indicated that seasonal and weather factors had negative impacts on business," said Steve Miller, Chair of the Institute for Supply Management Services Business Survey Committee. "The most common topic among survey panelists remained tariff-related impacts, with a noticeable increase in commodities listed as up in price,” he added.

Miners resisted the downtrend in the US: Materials was the best of the S&P sectors, gaining 0.8%. Real estate, consumer discretionary and energy also posted gains. Utilities -1.05% and tech -0.91% were the biggest drags.

A basket of US gold miners closed at a 12-year high as the prospect of interest rate cuts helped hold the greenback near a one-week low, increasing the appeal of alternative stores of wealth. The NYSE Arca Gold Bugs Index climbed 2.86% to a level last seen in the final quarter of 2012. US gold futures settled US$8.30 or 0.2% ahead at US$3,434.70 an ounce. Spot gold was lately up US$5.61 or 0.17% at US$3,379.87.

Iron ore rose towards its highest in a week as Chinese steel production remained robust during what is normally a slack period for output. Data from Mysteel indicated daily hot metal output had held around 2.4 million tons since April. Benchmark ore on the Dalian Commodity Exchange ended daytime trade 1.2% higher at US$111.13 per metric ton.

Oil fell for a fourth night after the OPEC+ group of major producers announced a production increase and US President Donald Trump threatened India with higher tariffs because of its purchasing of Russian crude. Brent crude settled US$1.12 or 1.6% weaker at US$67.64 a barrel.

Copper retreated following an increase in stocks at warehouses registered with the London Metal Exchange. The latest data showed stocks at LME warehouses have rebounded by 70% since late June after being severely depleted in prior months as exporters rushed to beat US tariffs. Benchmark copper on the LME eased 0.54% to US$9,634.50 per metric ton.

Key events today:

Earnings season: News Corp, REA Group, Centuria Industrial REIT, BWP Trust, Charter Hall Long Wale REIT (source: CommSec)

S&P 500: down 31 points or 0.49%

Dow: down 62 points or 0.14%

Nasdaq: down 137 points or 0.65%

VIX: up 1.88% to 17.85

US 10-year treasury yield: up 1.7 points to 4.214%

Dollar: down 0.01% to 64.73 US cents

Iron ore (Dalian): up 1.2% to US$111.13

Brent crude: down US$1.12 or 1.6% to US$67.64

Gold (futures): up US$8.30 or 0.2% to US$3,434.70

Gold (spot): up US$5.61 or 0.17% to US$3,379.87

Silver (spot): up 40 US cents or 1.07% to US$37.82

Palladium (spot): down US$40 or 3.3% to US$1,173

Antimony (China ore): up 0.13% to US$19,798

NYSE Arca Gold Bugs: up 2.86%

Bitcoin: down 1.01% to US$113,649

Copper (LME): down 0.54% to US$9,634.50

Nickel (LME): down 0.33% to US$15,055

Lithium carbonate (China spot battery grade): down 0.08% to 8,755 yuan

Global X Lithium & Battery Tech ETF: up 1.71%

Uranium (spot): up 1.05% to US$72

Global X Uranium ETF (URA): up 2.38%

BHP: down 0.97% (US); unchanged (UK)

Rio Tinto: down 0.5% (US); down 0.03% (UK)