Nov 5, 2012

The market is down 4. SFE Futures were down 3 this morning. Dow Jones down 139. The Dow was down 156 at worst and up 57 at best. US markets started the session on healthy gains with the Non-farm payroll numbers coming in better then expected but the unemployment rate was up to 7.9% from 7.8%. Markets lost ground towards the end of the day with investors taking profits ahead of the US election that begins this week. Factory orders were up 4.8% for September after being down 5.2% in August. Energy stocks were dragged down by Chevron as their profit results came in below forecasts. Nonfarm payrolls came in at 171,000 which was better then the forecast of 125,000 and the previous reading of 148,000. Worst sectors -- Basic Materials (-2.2%), Energy (-1.7%), Technology (-1.6%) and Industrials (-0.9%). The US 2 year bond yield down 1pt to 0.285% and the US 10 year yield down 1pt to 1.72%. Over the week the US 2 year yield was down 1pt and US the 10 year yield was down by 2pts. European markets mixed -- UK FTSE up 0.11%, German DAX up 0.38%, France up 0.49%, Spain up 1.05%, Italy down 0.24% and Greece was up 5.38%. The Stoxx Europe 600 index was up 0.4% with Consumer Goods (+0.8%), Industrials (+0.8%), Telecoms (-0.5%) and Utilities (-0.3%).
  • Westpac Group (WBC) -- FY result in line -- Cash Profit of $6.598bn up 5% and slightly higher than an expected $6.566 billion cash profit. Cash earnings from the bank's Australian retail and business banking units were higher than the previous year's up 14% to $2.1 billion as deposits and loans grew. Final fully franked dividend of 84c, bringing the total dividend to $166c. WBC is up 0.58% to 2517.5c.
  • Sundance Resources (SDL) -- Hanlong Africa Mining has secured finance from China Everbright Bank Co for $425.39 million to fund their takeover bid for SDL. The new finance together with the previously announced US$1.022 billion in commitments from China Development Bank, was in excess of the amount required by the Scheme Implementation Agreement. SDL is up 2.14% to 35.75c.
  • The AIG/CBA Performance of Services Index (PSI) for October rose 0.9 points to 42.8 points. Activity in the services sector fell for the ninth consecutive month weighed down by weak consumer confidence.
  • The TD Securities Melbourne Institute monthly inflation gauge showed consumer prices rose by 0.1% in October after a lift of 0.2% in September. In the 12 months to October, the gauge rose 2.4%. 
  • MOM retails sales came in at 0.5% which was better then the forecast of 0.4% and the previous reading of 0.3%.
  • The Trade balance came in at -$1.46 billion, which was better then the forecast of -$1.65 billion and the previous reading of -$1.88 billion.
  • The ANZ Job advertisements came in at -4.60% for September which was under the previous months reading of -2.80%. Total job ads are now 15% lower than they were on year ago.
For a 5 day FREE TRIAL of the MARCUS TODAY newsletter Click Here. You will receive our renowned and popular Daily email about the stockmarket with all the stuff you need to know ahead of the trading day including:
  • Overnight developments, news, comments, rumours, broker recommendations and ideas from Marcus and his Team.
  • Our Portfolio recommendations which is actively managed on behalf of subscribers.…no “set & forget”. Everything you need to effortlessly
  • managed your own long term investment portfolio.        
  • Daily Technical Trading ideas and data, including daily scans of the ASX 300 for stocks changing trend.
  • Stock Database – all the numbers with comments on the top 300 stocks and more.
  • Educational section - Marcus’s Educational and Entertaining articles.
Subscribe to MARCUS TODAY.  We are sure you will enjoy and profit from what we offer…we have one of the highest re subscription rates in the financial newsletter industry.

Free Trial

You've hit members-only content.

Sign up for a FREE 21-day trial to keep reading and get the best of Crikey straight to your inbox

By starting a free trial, you agree to accept Crikey’s terms and conditions


Leave a comment

Share this article with a friend

Just fill out the fields below and we'll send your friend a link to this article along with a message from you.

Your details

Your friend's details