Confused markets point to weak start
August 16th, 2010 by Cale McCulloch
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10,303.15 | -16.8 | -0.2% |
| NASDAQ | 2,173.48 | -16.79 | -0.8% |
| S P 500 | 1,079.25 | -4.36 | -0.4% |
| FTSE 100 | 5,275.44 | 9.38 | 0.2% |
| Nikkei 225 | 9,253.46 | 40.87 | 0.4% |
| ASX 200 | 4,459.59 | 57.8927 | 1.3% |
| COMEX Gold - Dec 09 | 1216.6 | -0.1 | -0.0% |
| COMEX Silver - Sep 09 | 18.109 | 0.044 | 0.2% |
| COMEX Copper - Sep 09 | 325.2 | -3.2 | -1.0% |
| WTI Spot | 75.5 | -0.24 | -0.3% |
| AUD-USD | 0.8933 | -0.0028 | -0.3% |
| Aluminium | 2,143.00 | 11.5 | 0.5% |
| Copper | 7,200.00 | 20 | 0.3% |
| Lead | 2,065.50 | 37.5 | 1.8% |
| Nickel | 21,475.00 | 445 | 2.1% |
| Tin | 20,740.00 | 490 | 2.4% |
| Zinc | 2,032.00 | 22 | 1.1% |
US Markets nudged in and out of negative territory on Friday night, in relatively thin volume before closing out the week lower for a fourth session in a row. At the bell the Dow was off by 16 points, the broader S&P500 lower by about 4 points, while the Tech heavy NASDAQ was the hardest hit, sliding some 17 points of 0.77% for the session. The fall on Friday capped off the Dows worst week since early July, and also marked the return of Volatility after three weeks of gains on the markets. Small increases in US retail sales and consumer sentiment, driven by sales of cars and Gasoline were not enough to lift the market as the numbers showed declining demand in many other categories. This, combined with a bigger than expected rise in US inventories was enough to see the market close out a negative week!
Gold was little changed for the session, while Oil drifted slightly lower, dropping about USD 0.24 a barrel to end the week at 75.50 per barrel. While on the London Metals Exchange, the story was no better, with Copper, Lead, Zinc, Aluminum and Nickel all falling by between 0.5 and 2.5%, while Tin was the only one to buck the trend, rising about 2% for the session. The weakness in base metals will weigh on the local market this morning, with BHP trading in NY pointing to an opening level more than 1% lower from Fridays domestic close.
Markets are looking confused at the moment, and Fridays extremely bullish price action, rallying some 60 points from open to close, looks like being negated this morning by a weaker open, with the SPI pointing to declines of some 50 points on the back of the Dows inability to perform the way the US futures suggested during Asian trading on Friday. The local markets movement will be guided by the broader Asia, which carried our market on Friday, with hopes the Chinese Government wont launch any further tightening measures in the property sector any time soon.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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