daytrading nov 30 afternoon

Thanks Endless.

Half-time round-up:

The ASX 200 this morning cracked 4500 for the first time in three weeks despite negative US futures as political divisions over budget talks deepened in Washington.

At lunchtime the benchmark index was 32 points or 0.7% stronger at 4510 and on track for its second straight winning week. A 3.2% rally in Rio Tinto helped the metals & mining and materials sectors rally 1.2% for the best of the sector gains. Other significant rises included energy +0.9%, financials +0.9% and industrials +0.8%.

"We continue to see some choppy trade with all the rhetoric from US political leaders on the 'fiscal cliff' but all things considered without the noise it does seem like the world's in a better place," IG Markets analyst Stan Shamu told Fairfax. "We've seen improved economic data from the US. Markets are generally positive and it seems like investors want to bid the market higher."

US futures deteriorated this morning as details leaked of the White House's opening gambit in budget negotiations over the so-called fiscal cliff. The Wall Street Journal said President Obama was looking for US$1.6 trillion in increased tax and US$50 billion in new spending to stoke the economy. Read more here. Dow futures were recently down 21 points or 0.2%.

An upturn in Japanese manufacturing helped Asian markets edge higher. The Nikkei rallied 0.89% after a report showed industrial output increased 1.8% last month, the first improvement in four months. Shanghai advanced 0.5% and Hong Kong's Hang Seng added 0.55%.

Crude oil futures retraced seven cents this morning to US$87.71 a barrel. Spot gold was 50 cents softer at US$1,725.30 an ounce. The dollar was buying $US1.0428.


Good to see our market pay little heed to soft US futures for once. Still, volumes feel pretty weak and opportunities seem scarce. The retrace in CXO eventually offered a quick bounce scalp for a wage, although subsequent trading suggests I was lucky to get away with it. There were more phoney bids in that buy queue than at a 1990s Melbourne house auction.