Morning traders. Thanks loungers, especially @Ravgnome and @Patterns.
My last report tomorrow, with @highlandlad returning Monday after hopefully enjoying a good break. Me? Looking forward to sleeping in of course lol.
A request: If anyone thinks I have incorrectly quoted any commodity prices, please reply with a link to a site where I can find the correct end of day values.
Outlook for the day: Negative on the back of broad-based overnight US markets,with the energy sector leading the way down.
ASX futures: down 33 or - 0.40% to 8197 (7.05am 26/9) cf this timeyesterday
US futures: DOW (-0.80%), S&P (- 0.15%), NAS(+0.38%) as at 7.07am 26/9
Overnight themes:
- With the exception of the Nas, all major US indexes closed down, including the DJT (Dow Transports) sub-index which closed -0.82 and small caps Russell2000 -1.25%. In DOW theory, DJT is often the harbinger of things to come in wider markets, although there can be periods of divergence. Markets losses seem closely related to the significant overnight drop in crude and that bond yields so far are “chesting” the Fed’s recent 0.5% rate cut, with the T10yr yield rising 1.34% overnight to close at 3.78%
- The S&P 500 ended the session down 0.17%, a small retreat from yesterday’s ATH
- The Nasdaq closed up 0.56%, still just over 3% below its ATH
- The Dow closed down 0.70%, erasing 4 days of incrementally higher ATH’s. The advance/decline ratio was a dour 0.4. Top decliners included Amgen, Goldman Sachs, Caterpillar, Chevron, Visa and Home Depot. Top gainers included Microsoft and Salesforce.
- The big drivers of US markets appear to be the big overnight drop in crude and still strong bond yields.
- Substantial losses in Energy, healthcare, real estate, industrials, basic materials, financial services and consumer cyclicals. Flat in communications and construction. Modest gains in Technology and utilities. (finance.yahoo.com)
- Iron ore took a breather to close down (- 0.70%, SGX 62% Fe Fines) after several days of stellar gains after recent China stimulus news
- Crude fell substantially overnight, with Brent/WTI down about -1.95%/2.45%. The silver lining to this cloud is that falling crude is a significant assist in the fight to lower inflation
Key events today:
- US: Initial jobless claims, durable goods orders, GDP (2nd rev), pending home sales. Fed Heads hit the hustings this week with no fewer than 14 speaking engagements (a big Fed Speak session tonight with Feds Kugler/Collins, Bowman, POWELL, Williams, Barr, Cook and Kashkari at various engagements). Given the recent 0.5% rate cut, and market perceptions on this still divergent, Fed Head utterings this week have potential to move markets.
- Australia: RBA Financial Stability Review out 11.30am AEST (tradingeconomics.com)
- China: None (tradingeconomics.com)
S&P 500: down 10.67 or - 0.17% to 5722
Dow: down 293.47 or - 0.70% to 41,915
Nasdaq: up 7.68 or + 0.04% to 18,082
CBOE VolatilityIndex (VIX): up 0.02(+ 0.13%) to 15.41, continuing within an overall downtrend channel over thelast week
Dollar: down 0.007 US cents or - 1.04% to 68.21 US cents (6.49am 26/9)
Iron ore (Dalian): down 7k yuan to 716k yuan, -0.97%% (dce.com.cn) asChina stimulus news runs out of puff
Iron Ore (SGX62% Fe Fines): down -0.70% to $US95.80 (6.15aam 26/9, barchart.com) as China stimulus news runs outof puff
Brent crude: down US$1.44 or - 1.95% to US$73.02
WTI crude: down US$1.76 or - 2.45% to US$69.81
Gold (futures): up US$6.70 or + 0.25% to US$2,6 83.6(6.28am 25/9, marketwatch.com)
Gold (spot): up US$1.19 or + 0.04% to US$2,659.27 (silverprice.org)
Silver (futures): down US$0.295 or - 0.91% to US$32.135 (6.28am 25/9, marketwatch.com)
Silver (spot): down US$0.32 or - 0.99%US$31.84 (silverprice.org)
NYSE Arca Gold Bugs: HUI Gold Index: 334.52, up + 8.07 or + 2.47%(closed 24/9)
Bitcoin: down US$839.39 or - 1.31% to US$63,411 (trades 24/7, price 6.47am Thu 26/9 cf Wed close)
Copper (LME): down - 0.27% to US$9770.00 (25/9 lme.com)
Nickel (LME): up 0.03% to US$16,740 (25/9 lme.com)
Lithium carbonate (China): up 900 yuan or + 1.21% to 75,100 yuan (highlandlad recommended site – updated 25/9)
Lithium: unchanged at 72,500 yuan (6.01am 25/9marketindex.com)
Global X Lithium & Battery Tech ETF: 38.94, down - 0.53 or - 1.34%(finance.yahoo.com)
Uranium (spot): up US$ + 1.10 or + 1.13% to US$80.45 (marketindex.com,last 6.03am 26/9)
BHP: 0.66% (US); up 1.55% (UK)
Rio Tinto: up 0.61% (US); up 0.55% (UK)
FMG: up 2.10% (US … FSUGY ADR)
Dex
