Feb 8, 2013
The Market is up 15. Dow Jones was down 42. SFE Futures were down nine this morning. The Dow was down 134 at worst and up two at best on stronger economic data and comments from the ECB about the Euro rise being a concern. Weekly jobless numbers were down 5000 to 366,000 in the latest week. The forecast was for 360,000. Productivity was down 2% in the December quarter which was softer than the expected 1.3%. ECB President Mario Draghi caused some concerns with comments post the ECB Meeting (left rates on hold at 0.75%) about the impact of a rising Euro on European recovery although he also points out that a strong Euro is a sign of renewed confidence. He also noted a reduction in inflation -- seen by some as a comment designed to jawbone the Euro down. The Euro fell. US$ hit one month high. Apple up 2.97% as they say they will consider hedge fund investor comments that with that much cash the stock should yield 8%. Best sectors -- Consumer Goods (+0.4%) and Utilities (+0.2%).Worst sectors -- Basic Materials (-0.6%), Energy (-0.5%), Financials (-0.5%), Health Care (-0.4%) and Telecoms (-0.4%). The US 10 year bond yield was down 2bpts to 1.94%. European markets mixed – UK FTSE down 1.06%, Germany DAX up 0.13%, France down 1.15%, Spain down 0.52%, Italy down 1.22%. Spot iron ore unchanged at $155.10. Gold down $5.80 to $1671.90. Oil down 81c to $95.81. The A$ made hit a three month low last night against the US$ of 103.84c.