GOOD MORNING TO ALL TRADERS, HERE'S AN OVERNIGHT MARKET UPDATE:>...

GOOD MORNING TO ALL TRADERS, HERE'S AN OVERNIGHT MARKET UPDATE:

> The Australian SPI 200 Mar 10 futures contract was down 29 points or 0.6% to 4578.

> And the US equities fell ending their two-day rally as US service industries expanded less than economists forecast and Pfizers profit trailed estimates. At the time of writing, the DJIA was down 0.3% to 10267, the S&P 500 lost 0.7% to 1096 and the Nasdaq was 0.1% lower at 2188.

> Also the European equities were lower overnight on heightened concerns that Greece, Portugal and Spain would have difficulty curbing their budget deficits. The DJ Euro Stoxx 50 fell 0.9% to 2805, the German DAX lost 0.7% to 5672 and the FTSE was 0.6% lower at 5253.

> It was a positive night for the USD as reports showed that service industries in the US expanded and companies cut fewer jobs than forecast. EUR/USD hit a high of 1.4027 overnight but quickly pared gains to open lower at 1.3900. GBP/USD opens weaker around 1.5900 trading a wide range overnight. USD/JPY opens higher at 91.14, gaining steadily overnight.

> While the US bond yields were higher overnight after a report showed job cuts by US companies last month were the least in two years and the government said it would sell a record-tying $81bn in notes and bonds next week. The yield on 2-year notes gained 2bps to 0.875%, whilst the 10-year yield rose 5bps to 3.695%.

> And the Australian bond futures moved in line with US Treasuries yet outperforming at the short end of the curve. The implied yield on 3-year bond futures was up 6bps to 4.830% (price down 6bps to 95.170) and the implied yield on the 10-year bond futures gained 5bps to 5.575% (price down 5bps to 94.425).

> It was a soft night for the AUD as US data releases increased the appeal of higher yielding assets. AUD/USD opens weaker around 0.8830 falling sharply overnight. AUD/EUR opens marginally lower at 0.6347 after a quiet trading session. AUD/JPY opens at 80.41 after a choppy session and the AUD/NZD opens at 1.2469 trading flat overnight.

> Meanwhile the Crude oil fluctuated after a US Energy Department report showed that fuel stockpiles declined and crude supplies increased after refineries idled units. WTI futures contract for Mar 10 fell 0.5% to US$77.00 a barrel.

> And the Spot gold fell for the first time this week as a rebounding US dollar eroded the appeal of the precious metal as an alternative investment. Spot gold fell 0.5% to US$1,108.5 an ounce.

> Also, the LME copper decreased 3.3% to US$6590 as the US dollar strengthened, eroding the appeal of commodities. Other base metal futures traded negative with zinc, aluminium and lead decreasing 3.2%, 1.7% and 4.5%, respectively. Nickel ended 0.3% higher.

> Finally, the US corn and soybeans fell 3.1% and 1.6% on speculation that increased sales of record crops by US farmers are offsetting a jump in demand. Wheat decreased 3.7% on speculation that a stronger dollar would erode the appeal of the commodity. Sugar lost 2.8% as buyers stay away on record prices. Palm oil futures were 1.9% higher.

GOOD LUCK TO ALL TRADERS!