daytrading nov 16 afternoon

Thanks Endless. Half-time round-up:

Australian shares were unchanged at lunchtime as Asian markets retreated ahead of bond auctions tomorrow night in Spain and France.

At 1pm the ASX 200 was flat at 4283 as gains in resource stocks, financials and industrials balanced falls among energy and gold shares, consumer staples and utilities.

"The market's just holding on," Lucinda Chan, division director Macquarie Equities, told Fairfax. "It will remain in these sort of conditions I suspect, trading more-or-less sideways until we hear a bit more. The market's not sure yet, there's still a lot of unfinished business."

Asian markets pulled back as traders weighed improved overnight US economic news against signs of stress in European bond markets. France and Spain are due to hold bond auctions tomorrow night that will be closely watched for weakness. Japan's Nikkei eased 0.17%, Shanghai 0.55% and Hong Kong's Hang Seng 0.77%. Dow futures were recently off 12 points or 0.1%.

"The US seems to be back on the recovery path, which is very helpful because it's the biggest economy in the world and it fixes sentiment in a big way," Prasad Patkar of Platypus Asset Management in Sydney told Bloomberg. "Investors around the world would be happy if Europe doesn't export its toxicity."

The morning's domestic economic news was tepid, at best, with job vacancies falling, wages up slightly less than expected, manufacturing continuing to decline and economic activity below long-term trends. The DEEWR internet vacancy index eased 1.9% last month, its seventh straight decline. Hourly pay rates increased by a seasonally-adjusted 0.7% last quarter, just below the 0.9% median economists' forecast. The NAB Manufacturing Activity Index fell 1% last quarter. An index of economic activity predicted future growth of 3.3%, in line with long-term trends, but current activity was just 0.9%, well below the long-term trend of 2.7%.

Crude oil futures fell 39 cents this morning to US$99.05 a barrel. Spot gold was $7.90 softer at US$1,775 an ounce. The dollar was buying US$1.0139.


A pretty directionless morning across the region. No one appears enthused by last night's gains on Wall Street. Lordy, the days are slow and long at present. Just two trades this morning - picked up IPL and BSL at their lows but expect no more than a point or two from each unless the index finds another gear this afternoon.