Australian shares tracked sideways this morning as tonight's US public holiday and a lack of progress in Greece's debt negotiations stifled risk appetite.
At lunchtime the ASX 200 was unchanged at 5877 following a V-shaped morning where the index swung as low as 5842 and as high as 5893. Gains in energy +0.6%, metals & mining +0.6% and materials +0.5% were balanced by falls in property trusts -1.7%, gold -1% and utilities -0.5%.
Investors appeared reluctant to add to positions ahead of tonight's meeting of euro-zone finance ministers in Brussels to discuss Greece's debt crisis. Negotiations continued over the weekend to bridge the gap between the new Greek government's mandate to "end austerity" and its lenders' demands that the nation honour the terms of its loans.
“We’re looking at difficult negotiations on Monday,” Greek Prime Minister Alexis Tsipras told Germany’s Stern magazine. “Nevertheless, I’m full of confidence.” Read more here.
China's Shanghai Composite put 0.12%, Hong Kong's Hang Seng 0.3% and Japan's Nikkei 0.72%. Dow futures were recently off 15 points or less than 0.1% ahead of tonight's President's Day public holiday.
Crude oil futures surged $1.62 or 3.2% this morning to US$52.83 a barrel. Spot gold was $2.80 stronger at US$1,230.70 an ounce. The dollar was buying 77.8 US cents.
Oil is on a tear. Rising for a third day. Bottom appears to be well and truly in, as signalled by the bounce in share prices several weeks ago. Iron ore starting to look interesting - can't remember the last time the spot price rallied three days in a row but it would be months rather than weeks or days. Trading: one of those sessions where there were fireworks for the first half hour and then... not much. MBN provided much of the excitement, but there were also bounce opportunities in PFL, MBE and CLQ. Only nailed one of those. Couple of other small positions in tiddlers.
