Day Trading Pre Open - 29 November 2018

Good Morning Fellow Traders,

Thanks @Quantum Torus @Ravgnome and AM Loungers. Appreciating the cool music put up in the Lounge. Nice way to unwind after a long day slaving over a hot keyboard.

Liverpool in trouble after PSG draw first blood in the Champions League.

The Australian share market has closed slightly lower, dragged down by losses to the major miners after mixed commodity prices overnight.

The benchmark S&P/ASX200 index was down 3.2 points, or 0.06 per cent, at 5725.1 on Wednesday, while the broader All Ordinaries lost 0.05 per cent.

The 20 largest companies on the indices suffered the most losses, but outside of this the market generally treaded water as investors await trade discussions between US President Donald Trump and China's Xi Jinping, Bell Direct equities analyst Julia Lee said.

"We have seen downgraded expectations around the G20 and those talks between China and the US," she told AAP.
"The best case scenario at the moment is perhaps we won't see a rise in the tariffs from January."

The heavyweight resources lost 0.7 per cent sector-wide despite iron ore prices lifting overnight, with copper and gold dipping again.

This offset gains to tech, utilities, property and consumer staples.

BHP was down 0.8 per cent to $30.61, Rio Tinto fell 2.2 per cent to $72.00, while BlueScope Steel reversed earlier gains and fell 3.6 per cent to $11.11.

Fortescue Metals, however, bucked the trend and was the stand out performer, climbing 2.3 per cent to $3.94.

Energy stocks were flat with Woodside Petroleum and Oil Search both up 0.3 per cent, while Origin and Caltex both lost 0.9 per cent.

Health care shares eked out a gain, lifted by ResMed closing nearly one per cent higher at $14.55 and benchmark CSL rising 0.2 per cent to $179.78.

The big four lenders were mainly unmoved by the continual grilling at the royal commission, with NAB climbing 0.1 per cent to $24.91, Westpac and ANZ both unchanged at $26.28 and $26.96 respectively, and Commonwealth lost 0.2 per cent to $72.09.

Meanwhile, AMP stocks dropped 3.3 per cent to $2.35 after the wealth manager's latest update on the scale of its fees-for-no-service problems.

CSR shares reversed earlier losses and climbed two per cent to $3.02 following the announcement of the $155 million sale of its troubled Viridian glass business.

And oOh!media shares spiked 6.7 per cent after reports its street furniture and transport company it recently acquired had won a ten-year contract with the Brisbane City Council.

Soft economic data had a limited impact to the Australian dollar which was holding its ground as investors awaited clarity to emerge on Sino-US trade.

The Aussie was buying 72.33 US cents at 1630 AEDT from 72.34 on Tuesday.

ON THE ASX:
* The benchmark S&P/ASX200 index closed down 3.2 points, or 0.06 per cent, at 5725.1
* The All Ordinaries was down 2.7 points, or 0.05 per cent, at 5800.1
* At 1630 AEDT, the SPI200 futures index was down 10 points, or 0.17 per cent, at 5724

CURRENCY SNAPSHOT AT 1630 AEDT:
One Australian dollar buys:
* 72.33 US cents, from 72.34 US cents cents on Tuesday
* 82.36 Japanese yen, from 82.10
* 64.02 euro cents, from 63.80
* 56.74 British pence, from 56.44
* 106.44 NZ cents, from 106.78

GOLD:
The spot price of gold in Sydney at 1630 AEDT was $US1214.42 per fine ounce, from $US1222.22 on Tuesday.

Wall Street extended its gains on Wednesday after Federal Reserve Chair Jerome Powell said that the central bank’s policy rate was “just below” neutral, hinting at a potential moderation in the pace of policy tightening.

The S&P 500 was up 1.9 percent, while the Dow and the Nasdaq each advanced more than 2 percent following Powell’s speech to the Economic Club of New York.

In his remarks, Powell said that while “there was a great deal to like” about U.S. prospects, “our gradual pace of raising interest rates has been an exercise in balancing risks.”
Earlier in the day, in its first-ever financial stability report, the Fed cautioned that trade tensions, Brexit, and troubled emerging markets could rock a U.S. financial system where asset prices are “elevated.”

This comes on the heels of President Donald Trump’s latest attack on the central bank, saying in an interview on Tuesday that the Fed “is way off-base with what they’re doing.”

“(Powell) gave the market, and presumably President Trump, exactly what he wanted, which was an admission that the previously proposed path of future rate hikes was probably too aggressive,” said Oliver Pursche, chief market strategist at Bruderman Asset Management in New York.
“Powell saying we’re ‘close to neutral’ is a pretty good indication of what’s to come,” Pursche added.

The U.S. Commerce Department affirmed that U.S. GDP USGDPP=ECI grew in the third quarter at a 3.5-percent annual rate, but the goods trade deficit widened, consumer spending was revised lower and sales of new homes tumbled, suggesting clouds are gathering over what is now the second-longest economic expansion on record.

The Dow Jones Industrial Average .DJI rose 539.18 points, or 2.18 percent, to 25,287.91, the S&P 500 .SPX gained 49.69 points, or 1.85 percent, to 2,731.86 and the Nasdaq Composite .IXIC added 165.49 points, or 2.34 percent, to 7,248.19.

Of the 11 major sectors in the S&P 500, all but utilities .SPLRCU were positive. Technology .SPLRCT, consumer discretionary .SPLRCD healthcare .SPXHC and industrials .SPLRCI were the biggest percentage gainers, each up more than 2 percent.

Advancing issues outnumbered declining ones on the NYSE by a 3.96-to-1 ratio; on Nasdaq, a 3.57-to-1 ratio favored advancers.

The S&P 500 posted 15 new 52-week highs and 5 new lows; the Nasdaq Composite recorded 29 new highs and 113 new lows.

Source: Netwealth Morning Business Roundup

Help yourself to Mini Frittatas with Salsa this morning. And back by popular demand - the coffee.



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Happy trading, play nicely and make informed decisions.