Fed moves to stabilise market
March 19th, 2009 by Neil Gynther
Closing Data
| current | change | % | |
|---|---|---|---|
| Dow Jones | 7486.58 | 90.88 | 1.2% |
| NASDAQ | 1491.22 | 29.11 | 2.0% |
| S P 500 | 794.35 | 16.23 | 2.1% |
| FTSE 100 | 3804.99 | -52.11 | -1.4% |
| Nikkei 225 | 7972.17 | 23.04 | 0.3% |
| SPI Futures | 3463 | -6 | -0.2% |
| All Ords | 3,386.00 | -7.2 | -0.2% |
| Oil | 48.12 | -0.85 | -1.7% |
| Gold | 932.95 | -6.95 | -0.7% |
| Silver | 12.78 | -0.1 | -0.8% |
| Aluminium | 1339 | 22.5 | 1.7% |
| Copper | 3740 | -21 | -0.6% |
| Lead | 1320.5 | -13 | -1.0% |
| Nickel | 9705 | -300 | -3.0% |
| Tin | 10055 | -420 | -4.0% |
| Zinc | 1192 | -34 | -2.8% |
US stocks rose on Wednesday as the Federal Reserve said it would buy long term Treasury Bonds for the first time in four years This effort to revive the economy had an immediate effect on the Dow with the index rising 91 points to finish at 7486.58. The NASDAQ and the S&P also rose. Spot gold was the other winner, rising $26.80 to $941.30.
European markets were weaker, closing down on lower crude and base metal prices. They also closed before the Fed announcement and the US rally.
The Australian market will be mixed, with the banks continuing their rally and the miners, other than gold, should be weaker. This morning may be somewhat confused with the expiry of the March Share Price Index (SPI). Expect the market to settle later in the morning.
With the rally that the banks are having you need to contact your adviser and start to plan tactics for the options expiry next Thursday. We believe that there will be further bad days (weeks) before world markets can sustain a prolonged rally.
Woolworths goes ex dividend on the 23rd March. Refer to our trading advice yesterday on how to take advantage of the dividend.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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