daytrades oct 27 afternoon

Thanks Tweets. Libart, best wishes for your old man's recovery. Half-time round-up:

Shares were unchanged and the Australian dollar lower this morning after inflation missed expectations, reducing the prospects for a rate rise next month.

At lunchtime the ASX 200 was up 1 point at 4689 as gains in the big banks and Telstra off-set falls in the miners, utilities and industrials.

An increase in consumer prices of 0.7% last quarter from 0.6% in the June quarter was just below expectations. The result left inflation well within the Reserve Bank's target band of 2-3%.

Colonial First State analyst James White told Fairfax this morning's report was "pretty surprising. It's going to make it pretty difficult for the RBA to raise rates in that environment."

The Australian dollar dropped almost a cent after the release as the odds on a rate rise next month decreased. The dollar was recently buying 97.68 U.S. cents.

Asian markets were mixed. Japan's Nikkei rallied 0.74%, Shanghai was down 0.12% and Hong Kong's Hang Seng off 0.24%. Dow futures were recently at +1.

Crude oil futures eased 27 cents this morning to $82.34 a barrel as the U.S. dollar index continued to crawl higher. The spot gold price was $1.20 weaker at $1,38.60 an ounce.


Muted reaction to the local inflation news. The miners seem to be paying more attention to the overnight rise in the U.S. dollar, and the banks are probably responding to NAB's profit result. Busy morning here. I went another 15 rounds with ALK after copping a thrashing yesterday and came out modestly ahead. Also rode some of the bounce in LYC but took profits too soon. Skinny scalps in ARV and MEL. Nice opening run on CLO. Recently added PRY and FRG purely for any afternoon bounces.