Market Morning

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Equity markets in Europe and USA were flat on continued Greek ructions and staid US data, particularly retail sales which came in at half expectations.

Here is what happened last night in detail:

The UK FTSE finished flat at 5899, still above its resistance level at 5700 points with the German DAX losing just 10 points – i.e flat – to 6728 points, moving sideways yet eyeing off the pre-correction support level (now resistance) at 7000.

The Euro (EUR/USD) slipped against the USD, going below 1.32 to 1.313, where it remains this morning, as the USD Index showed continued strength up 0.5 points to 79.52, possibly building on a breakout.

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The resilient AUD fell about a half a cent against the USD remaining below 1.07 but has recovered some in early trade this morning, at 1.069 with Aussie 10 year bonds bid up, yields falling to be just below 4% and still below the cash rate.

US markets were in negative territory for most of the session, before the “PPT” came in the afternoon with the S&P500 Index finishing down 1 point at 1350 with the narrower Dow Jones up 4 points at 12878 points and the tech heavy NASDAQ Composite also flat at 2931.

To commodities, and WTI crude remains over $100USD a barrel on spot prices, not good news for US consumers with Brent crude also putting on some minor gains, only up 23 cents a barrel to be above $118 on the 3 month futures – something to watch closely.

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Gold had another volatile session hitting a low of $1711 before consolidating at $1720USD an ounce, where it remains on the open of the Asian session.

The Aussie SPI Futures are pointing to a slightly lower open for the S&P/ASX200 index, probably down 3 points around the 4240 points level on these flat, mixed leads.

Earnings reports are avalanching today – at least a dozen ASX200 companies announcing interim results, the most important to watch is of course the Commonwealth Bank (CBA), which I’ll cover in full later today.

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Trading Day will cover the Asian market session and the “ASX8” stocks after the close in the afternoon.

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