Black gold
December 19th, 2008 by
Closing Data
| current | change | % | |
|---|---|---|---|
| Dow Jones | 8604.99 | -219.35 | -2.5% |
| NASDAQ | 1552.37 | -26.94 | -1.7% |
| S P 500 | 885.28 | -19.14 | -2.1% |
| FTSE 100 | 4330.66 | 6.47 | 0.1% |
| Nikkei 225 | 8667.23 | 54.71 | 0.6% |
| SPI Futures | 3544 | -28 | -0.8% |
| All Ords | 3,521.70 | 6.7 | 0.2% |
| Oil | 36.76 | -3.41 | -8.5% |
| Gold | 860.6 | -7.9 | -0.9% |
| Silver | 11.12 | -0.3 | -2.6% |
| Aluminium | 1457.5 | -15 | -1.0% |
| Copper | 2845.5 | -139 | -4.7% |
| Lead | 916.75 | -60 | -6.1% |
| Nickel | 9658 | -25 | -0.3% |
| Tin | 10870 | -300 | -2.7% |
| Zinc | 1084.5 | 4.5 | 0.4% |
Black gold
The Australian market is expected to open lower this morning, as Energy and Mining stocks come under pressure, following a weak night in Base Metals and steep falls in Oil. The SPI Futures fell 37 points to 3535, a 46 point discount to yesterday’s close.
Australia’s Gold Miners, which have been shining stars in recent weeks, each with some 50% climbs in share prices will also come under pressure after Gold fell some USD 8 per ounce, giving back some of its recent gains. The Financial sector could be interesting, as Australian Banks have been heavily punished throughout the week, with the mess surrounding CBA’s capital raising bringing renewed fears about the health of the Domestic banking sector. With the market likely to fall, expect some bargain hunting in the banking sector, with most major banks trading near their lows.
US stocks fell on Thursday led by a sell-off in energy and material stocks. Oil prices continued to dive hitting multi year lows of $36.76, a fall of 13% over the last two sessions. The Dow Jones finished the session down 219 points at 8604. Tonight in the US we have what is known as ‘quadruple witching’, with a series of options contracts expiring at session’s end. This generally produces extreme levels of volatility and we should see some wild swings on US indices, as option strategies and derivatives plays are unwound.
Leighton (LEI)
Following on from our trade on LEI look for the stock to move higher today and edge closer to the gap. Remember the gap fill is at $30.15 on the daily chart.
Qantas (QAN)
Qantas and British Airways ended discussions over the proposed $8 Billion after a merger. Qantas can now pursue ties with Asian airlines, which many analysts have said would make more sense. QAN Qantas shares rose 17c yesterday following the announcement to close at $2.43.
Options Expiry
Options Expiry was last night. Did you get exercised? Did your position expire? Please call your adviser to discuss.
Regards,
The Stockbroking Team
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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