Dow Jones Remains Above The 10,000 Mark
November 9th, 2009 by Cale McCulloch
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10023.42 | 17.46 | 0.2% |
| NASDAQ | 2112.44 | 7.12 | 0.3% |
| S P 500 | 1069.3 | 2.67 | 0.3% |
| FTSE 100 | 5142.72 | 17.08 | 0.3% |
| Nikkei 225 | 9789.35 | 71.91 | 0.7% |
| ASX 200 | 4,594 | 86 | 1.9% |
| COMEX Gold - Dec 09 | 1095.7 | 6.4 | 0.6% |
| COMEX Silver - Sep 09 | 17.375 | -0.035 | -0.2% |
| COMEX Copper - Sep 09 | 295.25 | -0.45 | -0.2% |
| WTI Spot | 77.37 | -2.25 | -2.8% |
| AUD-USD | 0.9183 | 0.0081 | 0.9% |
| Aluminium | 1887 | 1 | 0.1% |
| Copper | 6532 | 4.5 | 0.1% |
| Lead | 2320 | 0 | 0.0% |
| Nickel | 17805 | -5 | -0.0% |
| Tin | 14975 | -35 | -0.2% |
| Zinc | 2168 | -17.5 | -0.8% |
U.S markets shrugged off news that the unemployment rate had surged to 10.2% over the past month. The Dow managed to close above the key 10000 mark at 10,023 after spending most of the session dipping in and out of negative territory. Helping push the index higher was a 6% move from GE on the back of a broker upgrade, although perhaps more important was the data showing a surge in labour productivity. Investors took comfort in the higher productivity number, as it is normally one of the final stages of an economic downturn before employers are left with no choice but to employ more labour in order to increase output (given that the current workforce are operating near maximum).
Gold also edge higher, trading through the USD 1100 mark intraday before settling up USD 6 an ounce to close at 1096 a Troy Ounce. Trades took the unemployment rate as an indication that demand for Oil may be lacklustre for a prolonged period, sending the price of Crude down $2.25 a Barrel to USD 77.37.
Base metals traded broadly weaker, with all of the majors closing lower by between 0.6 and 3.7% on Friday night. Given the strong runs that the Big miners put on the board locally on Friday, they will likely be a weight on the local market when it opens this morning. BHP ADR trading in New York closed at 36.98 a share, compared to $37.40 per share locally on Friday.
This morning may be a good opportunity to put some sideline cash to work, ahead of a run up to Christmas. With the flow of economic data and company reports basically complete in the US, there will be little news to shock markets, leaving fund managers and other investors with virtually all of the information they are going to get for the next couple of months, and the question of whether to put the cash to work? The logical answer would be YES, or run the risk of missing the next run in markets and having to answer to disgruntled investors…. The cash on the sidelines is likely to push global markets higher towards Christmas.
The SPI has the Aussie market opening just 4 points higher this morning, but look for some of that cash to go to work throughout the day, driving the market higher through the afternoon.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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