Dow down 2% on economic woes
October 2nd, 2009 by Cale McCulloch
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 9509.28 | -203 | -2.1% |
| NASDAQ | 2057.48 | -64.94 | -3.1% |
| S P 500 | 1029.85 | -27.23 | -2.6% |
| FTSE 100 | 5047.81 | -86.09 | -1.7% |
| Nikkei 225 | 9978.64 | -154.59 | -1.5% |
| ASX 200 | 4,701 | -42.5 | -0.9% |
| COMEX Gold - Dec 09 | 1000.7 | -8.6 | -0.9% |
| COMEX Silver - Sep 09 | 16.44 | -0.218 | -1.3% |
| COMEX Copper - Sep 09 | 273.7 | -8.2 | -2.9% |
| WTI Spot | 70.82 | 1.56 | 2.3% |
| AUD-USD | 0.8702 | -0.0124 | -1.4% |
| Aluminium | 1858 | 6 | 0.3% |
| Copper | 6082 | -54 | -0.9% |
| Lead | 2192 | -84 | -3.7% |
| Nickel | 17565 | 230 | 1.3% |
| Tin | 15245 | 140 | 0.9% |
| Zinc | 1915.5 | 2 | 0.1% |
Because the US economy is showing signs that it is still struggling to emerge from its deep slump the Dow Jones Industrial average fell 203 points or 2.09%. The weakness was on the back of worse than expected economic data which showed new claims for unemployment benefits rose in the past week, underscoring jobless concerns. The weakness was across the board, with all 30 stocks in the Dow Jones Industrial Average ending the session lower.
The Australian market weakness we saw yesterday afternoon will continue this morning on the back of the steep declines on US stock markets. Banks were a major drag on the index yesterday, and this should continue today, with Westpac ADR trading showing the domestic share is likely to open some 1.6% lower. However, the key source of weakness today should be the big miners, led lower by market heavyweight BHP. BHP gave back some significant ground domestically during yesterday’s session, and with the Base metals all trading lower by between 2 and 6%, the stock looks set to open over $1 lower this morning according to the ADR trading in New York.
Gold gave back some of the previous session’s gains, but managed to hold USD 1000 per ounce, closing at 1000.7 a troy ounce. Oil was a standout performer holding on to previous session’s gains. The energy sector may be the bright spot on the local market this morning, but if selling escalates in Asia this afternoon we should see a broad based sell off.
The SPI futures have us opening lower by 75 points.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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