Market wrap: the performance gap between local markets and the US continues to widen, with the major US markets losing 1 - 2.5% on Friday. US markets have lost 18 - 20% of value already this year, compared to just over 10% here. That's an unusually large disparity. Banks and financials were the main drag in the US. Most disturbing is the absence of panic or any hint of a bottom - the Dow and S&P just keep grinding lower, day after day.
Gold was little changed at $942.50 after the recent pullback from the $1K level. Oil retreated 1% to $44.76. Base metals continued to retreat on evidence that the Chinese buying that supported the recent rally is waning.
Our futures say we'll push towards a new bear-market low today. The SPI fell 40 points to 3276.
A few factors to consider this week: the RBA meeting to set interest rates tomorrow; the looming end to the ban on short selling of financial shares on March 6 (or more likely, not); and the large number of companies going ex-dividend this week - today's batch includes ALL, APA, AXA, FLT, HST, IMD, MND, NWH, OST, QAN and WTF.
