US Stocks Slightly Down With Concerns Over Banking Regulation Plans
January 27th, 2010 by Lawrence Grasso
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10,194.29 | -2.57 | -0.0% |
| NASDAQ | 2,203.73 | -7.07 | -0.3% |
| S P 500 | 1,092.17 | -4.61 | -0.4% |
| FTSE 100 | 5,276.85 | 16.54 | 0.3% |
| Nikkei 225 | 10,325.28 | -187.41 | -1.8% |
| ASX 200 | 4,718.00 | -32.8 | -0.7% |
| COMEX Gold - Dec 09 | 1,098.10 | 2.4 | 0.2% |
| COMEX Silver - Sep 09 | 16.84 | -0.305 | -1.8% |
| COMEX Copper - Sep 09 | 333.7 | -5.6 | -1.7% |
| WTI Spot | 74.71 | -0.55 | -0.7% |
| AUD-USD | 0.8984 | -0.0058 | -0.6% |
| Aluminium | 2,217.50 | 28 | 1.3% |
| Copper | 7,409.00 | 169 | 2.3% |
| Lead | 2,235.00 | 8 | 0.4% |
| Nickel | 18,375.00 | -80 | -0.4% |
| Tin | 17,750.00 | 25 | 0.1% |
| Zinc | 2,323.50 | -0.5 | -0.0% |
U.S. stocks closed slightly lower Tuesday as financial stocks including J.P. Morgan Chase and Bank of America were hit with continued concerns over bank regulation plans while investors were disappointed with the fourth-quarter report from Verizon Communications. The Dow Jones Industrial Average fell 2.57 points, or 0.03%, to 10194.29, marking its fourth negative day out of the last five sessions.
Australian equities will open the session flat today with investors trying to find direction in what seems a murky horizon. From a technical perspective, the XJO looks like it has found some support around 4680 and may potentially work its way back towards the 4800 level over the coming sessions. With commodities mixed overnight, BHP and RIO will be left out of the spotlight, and the market will need a lead from the other sectors if it is going to find positive territory today.
Yahoo has reported in America after the market closed. Sales figures beat analysts estimates and the company made a profit for the quarter after losses last quarter. Shares were up 38c in afterhours trading.
Our market falls have been very overdone. There was talk of China slowing down because they were increasing the cost of money. This was purely done to stop any bubble that may have been forming in their property market. Even if their growth of 10.7% slowed to 8 or 9% it would not have any effect on the Australian businesses that export to China. And then there is India, a country of over 1billion people, growing at 6.6%.
Regulation of the American Banking system is overdue and will not affect our Banking system that has shown it’s resilience during the GFC. Any regulations bought in the USA will probably only mirror the regulations that our banks operate under now.
What the down turn in the markets has shown is that there is still some nervous investors out there and there are some financial journalists and analysts who refuse to let the truth get in the way of a good scare campaign.
During this consolidation phase our market is very good buying, but be selective, and discuss with your adviser.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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