FPG Overnight Headlines 01/12/2022

Overnight headlines

Despite commodities declining and nerves fraying ahead of the August US nonfarm payroll report, Australian shares are expected to open slightly higher thanks to a shift in New York. 

If the US labour market remains robust, it might make the Federal Reserve’s decision to raise interest rates higher and more quickly even stronger. 

ASX futures reversed early losses by rising 21 points, or 0.31 percent, to 6818. 

• Dow up 0.5% on Wall Street S&P 500 +0.3% Nasdaq fell 0.3%

The local currency decreased to below US68. The Fed will not stop raising rates for some time are helping to support the dollar. 

Bitcoin’s price on bitstamp.net dropped by 0.9% to $US19,991. 

The US 10-year note’s yield increased by 6 basis points to 3.26 percent. 

On Wall Street, the Dow began to rise around 3 o’clock, and this momentum grew in the final minutes, helping the S&P 500 also close higher. The Nasdaq substantially cut its previous losses. 

Kurt Reiman, senior investment strategist at BlackRock, predicts that shares of oil and gas companies will continue to be a rare bright spot in an otherwise challenging market, despite the asset manager’s downgrading of its equity position to underweight as central bankers signal additional interest rate hikes. 

Market movements

• ASX futures increased by 21 points, or 0.31 percent, to 6818.
• The Australian dollar decreased by 0.8% to 67.87 US cents.
• Bitcoin decreased by 0.9% to $US19,991.
• on Wall Street, the Dow rose 0.5% , S&P 500 increased 0.3%. -0.3% Nasdaq
• Stoxx 50 fell 1.7% in Europe. FTSE -1.9% CAC -1.5% DAX -1.6%
• Spot gold fell by 0.8% to US$1696.90 per ounce;
• Brent crude fell by 3.8% to US$92.01 per barrel;
• Iron ore fell by 5.3% to US$95.60 per tonne.
• US 3.26% for the 10-year yield. 3.68% in Australia 1.56% Germany

Today’s agenda

Local: NZ terms of trade for the second quarter

Overseas data: US August nonfarm payrolls, July factory orders, and July durable goods orders; Eurozone July