daytrade diaries... october 5

Morning traders.

Market wrap: The Australian stock market is expected to open in the red for a fourth straight session after a soft end to last week on Wall Street and resources markets.

Futures traders have priced in a 21-point fall at today's opening bell. The SPI futures index closed at 4588 after modest losses on Wall Street on Friday on the back of disappointing jobs data.

U.S. stocks opened with significant losses on news that employers eliminated more jobs than expected last month as the unemployment rate hit 9.8%. But losses were pared as the session advanced, hinting that last week's four-day pullback brought has stocks back to levels that some buyers find attractive.

The major indexes flirted with positive territory before closing lower. The S&P 500 ended down 0.45%, the Dow lost 0.23% and the Nasdaq 0.46%. Airlines led the advances, gaining 2.08%. Pharmaceuticals and consumer stocks also managed modest advances. European markets took their lead from the early fall on Wall Street. Britain's FTSE retreated by 1.17%, France's CAC lost 1.9% and Germany's DAX 1,56$.

Oil was pressured by the continuing deterioration in the American jobs market. Crude futures ended 1.23% lower at $69.68. Gold futures were dumped after the jobs data as the US dollar rallied against the euro, but erased losses as the December contract finished 0.4% higher at $1,004.30.

Recent support levels in base metals came under pressure as the weak U.S. jobs data weighed on the prospects for a pick-up in demand. Copper closed at a two-month low, down 1.46% in London. It's now down about 10% since hitting a 10-month high on August 28. Aluminium lost 2.21%, lead 1.78%, nickel 0.2% and zinc 1.46%.

TRADING THEMES TODAY

PUBLIC HOLIDAYS: There are holidays today in NSW, SA, WA and the ACT, which doesn't leave too many of us to trade. Low-volume sessions occasionally produce big moves because it's easier for the big boys to push the market around but the probabilities favour a rather lethargic session.

CREEPING BUYER INTEREST?: Bulls can take some heart from Friday's action in the US, despite the lower close. The glum jobs news in the U.S. could have been expected to send American stocks much lower but buyers stepped in as the session wore on. A clue that we may see a pause in the selling this week?

ECONOMIC NEWS: A quieter week for economic news lies ahead. Today, September ANZ job ads figures, due at 12.30 am, will provide clues to the local employment picture. In the US tonight, the ISM services index measures economic activity in the non-manufacturing sector last month.

Good luck to all.