GOOD MORNING ALL!...HERE'S OVERNIGHT MARKET UPDATE:> The...

GOOD MORNING ALL!...HERE'S OVERNIGHT MARKET UPDATE:

> The Australian SPI 200 Mar 10 futures contract was down 29 points or 0.6% to 4842.

> US equities slid as JP Morgan Chase reported a loss in retail banking, US consumer confidence trailed estimates and a stronger US dollar weighed on commodity prices. The DJIA was down 0.9% to 10610, the S&P 500 fell 1.1% to 1136 and the Nasdaq was 1.2% lower at 2288.

> US bond yields were lower on Friday after a US government report showed the cost of living rose less than forecast in December. The demand for the auctions of 10- and 30-year debt was high as investors remain wary of the strength of the economic recovery. The yield on 2-year notes fell 6bps to 0.862%, whilst the 10-year yield declined 6bps to 3.674%.

> Australian bond futures moved in line with US Treasuries. The implied yield on 3-year bond futures was down 5bps to 5.120% (price up 5bps to 94.880) and the implied yield on the 10-year bond futures lost 5bps to 5.615% (price up 5bps to 94.385).

> European equities declined on Friday after JP Morgans profit announcement and US consumer sentiment rose less than forecast. The DJ Euro Stoxx 50 fell 1.7% to 2940, the German DAX declined 1.9% to 5876 and the FTSE was 0.8% lower at 5455.

> The USD strengthened against major currencies as investors concerns on the economic recovery increased the appeal of the USD as a relatively safe asset. EUR/USD dipped to a low of 1.4336 overnight and opens Monday morning marginally higher above 1.4350. GBP/USD opens weaker at 1.6251, declining steadily overnight. USD/JPY opens at 90.78 after a flat session on Friday.

> The AUD weakened against major cross on Friday after US economic data releases dampened the demand for higher yielding assets. AUD/USD is trading below 0.9220 on Monday morning, declining steadily on Friday night. AUD/EUR opens around 0.6420 after a quiet session. AUD/JPY opens at 83.77 range trading for most of the session and the AUD/NZD opens weaker at 1.2521.

> Crude oil fell to a three-week low as the US dollar gained against the euro, curbing demand for commodities as an alternative investment. WTI futures contract for January fell 1.8% to US$78.00 a barrel.

> Spot gold declined as a rally in the US dollar reduced the appeal of the precious metal as an alternative asset. Spot gold declined 1.0% to US$1,130.93 an ounce.

> LME copper decreased 0.8% to US$7,430 as the rebound in the US dollar dampened demand for metals as an alternative investment. Other base metal futures traded negative with zinc, aluminium and lead decreasing 1.3%, 1.2% and 2.9%, respectively. Nickel ended 1.6% higher.

> US wheat fell 3.4% on concerns that increased global production will boost inventories and curtail demand for exports from the US. Soybeans and sugar lost 1.0% and 0.5% as the US dollars rally took some sheen off commodities. Corn declined 2.5% while palm oil futures were 2.0% lower.

...WILL BE WATCHING ADO AND PRR TODAY!..

GOOD LUCK TO ALL TRADERS!