Economic worries push market lower
December 9th, 2009 by Lawrence Grasso
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10285.97 | -104.14 | -1.0% |
| NASDAQ | 2172.99 | -16.62 | -0.8% |
| S P 500 | 1091.93 | -11.32 | -1.0% |
| FTSE 100 | 5223.13 | -87.53 | -1.6% |
| Nikkei 225 | 10140.47 | -27.13 | -0.3% |
| ASX 200 | 4,671 | -5.8 | -0.1% |
| COMEX Gold - Dec 09 | 1143.4 | -20.6 | -1.8% |
| COMEX Silver - Sep 09 | 17.807 | -0.553 | -3.0% |
| COMEX Copper - Sep 09 | 316.5 | -4.4 | -1.4% |
| WTI Spot | 73.02 | -0.91 | -1.2% |
| AUD-USD | 0.9039 | -0.009 | -1.0% |
| Aluminium | 2134 | 31 | 1.5% |
| Copper | 6960.5 | 40 | 0.6% |
| Lead | 2256 | -41 | -1.8% |
| Nickel | 15810 | -165 | -1.0% |
| Tin | 14960 | 10 | 0.1% |
| Zinc | 2291.5 | -9.5 | -0.4% |
In the U.S over night further global economic worries weighed on a basket of large industrial firms and commodities producers, with Chevron, Exxon Mobil and Caterpillar helping send the Dow Jones Industrial Average down more than 100 points. Renewed concerns over the potential fallout of credit and debt problems in Dubai and Greece followed downgrades from credit-rating agencies. The fears sparked a rebound for the dollar and a decline for oil and metals prices, which weighed on several Dow Jones components. For the session, the Dow closed down 104.14 points, or 1%, at 10285.97, marking its first drop in three sessions.
On the local front today look for a consolidation across the board with the XJO down potentially 80-100 for the session. With gold falling another $20.6 or 1.77% Newcrest (NCM) and Lihir (LGL) will both pull back to their major support level. This may be an opportunity to pick up some gold plays, however pay close attention to the gold price as it may come back to $1000 an ounce.
Traders, keep your eye on BHP to hit around $40 and RIO around $70.
Company News
BHP
BHP Billiton may have clinched a deal to rid itself of ill-fated Ravensthorpe nickel mine. According to reports a $300 million-plus sale to Canada's First Quantum Minerals is pending.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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