daytrades april 19 morning ...

Good Morning Traders,

US Market Report:

U.S. stocks cut some losses late Monday afternoon, but still finished the session sharply lower after Standard and Poor's cut its long-term outlook on U.S. debt to negative.

"I would say investors have been anticipating this somewhat, but when the shoe falls, it sends a vibration throughout the market," said Ron Kiddoo, chief investment officer at Cozad Asset Management.
S&P kept its "AAA'"-rating on the world's largest economy, but said it was concerned about the United States' ballooning deficit. While President Obama and GOP leaders have unveiled separate plans to reduce the U.S. deficit, the ratings agency said "the gap between the parties remains too wide." [Source: cnnmoney.com]

Market Reflections - Monday, 18th April, 2011

An S&P downgrade of the nation's rating outlook drove the Dow 1.2 percent lower 12,201. But the dollar gained on the day as news was even worse out of Europe where Finland may block what are becoming increasingly uncertain bailouts. The euro fell more than a percentage point to $1.4236 and pushed up the dollar index by nearly a percentage point.

The downgrade hasn't hurt the safe-haven status of Treasuries, at least not yet as yields dipped across the curve with the 30-year down two basis points to 4.45 percent. Talk of downgrade adds to the safe-haven status of gold which jumped more than $10 to a new record over $1,495. [Source: bloomberg.com]

Market Focus in the US this evening

It would be another setback for housing and construction if starts and permits don't bounce higher from a very weak February. [Source: bloomberg.com]
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The DJIA Index finished the last trading session: Down 140.24 points; and
The SPI Futures are currently: Down 46 points atm.
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Of note in the US this evening:

Housing Starts [ Market moving indicator]

...AND...

Of note in Australia today:

RBA Meeting's Minutes (Apr) [ Market moving indicator]
[The minutes of the Reserve Bank of Australia meetings are published two weeks after the interest rate decision. The minutes give a full account of the policy discussion, including differences of view. They also record the votes of the individual members of the Committee. Generally speaking, if the RBA is hawkish about the inflationary outlook for the economy, then the markets see a higher possibility of a rate increase, and that is positive for the AUD.]

[Sources used: bloomberg.com; dailyfx.com; fxstreet.com; nasdaq.com]
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Gold is currently trading Down $0.40 & is sitting at US$1,495.50/oz atm [Source: Kitco]
Oil is currently trading Up $0.26 & is sitting at US$107.38/bbl atm [Source: Bloomberg]
The Dollar: The AUD is currently trading @ $1.0491c against the US Dollar [Source: Forex. Live]
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Have a great day trading today all.

Cheers, Tweets

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