STOCK PRICE INDEXES

Markets take cautious view of historic talks

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Original article by David Rogers
The Australian – Page: 19 & 28 : 13-Jun-18

The summit meeting between US President Donald Trump and North Korean leader Kim Jong-un has had relatively little impact on global financial markets. Royal Bank of Canada’s Sue Trinh says the upcoming release of key economic data in the US and Australia will be a greater focus for financial markets in the near-term, noting that the two leaders differ on just what "complete denuclearisation" on the Korean peninsula will entail. Meanwhile, the US Federal Reserve is tipped to tighten monetary policy at its monthly meeting.

CORPORATES
UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, ROYAL BANK OF CANADA, UNITED STATES. FEDERAL RESERVE BOARD, RESERVE BANK OF AUSTRALIA, EUROPEAN CENTRAL BANK, BANK OF JAPAN, KOSPI INDEX, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, STANDARD AND POOR’S ASX 200 INDEX

Cohn exit triggers shockwaves

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Original article by David Rogers
The Australian – Page: 17 & 27 : 8-Mar-18

Sharemarkets in the Asia-Pacific region fell on 7 March in response to the resignation of President Donald Trump’s chief economic adviser, Gary Cohn, and futures pricing suggests further bearishness on Wall Street. Cohn was an advocate of free trade, and analysts say his resignation will heighten concerns about the potential for a trade war. Reserve Bank of Australia governor Philip Lowe says there could be major ramifications for the global economy if Trump were to broaden his tariff policy beyond steel and aluminium.

CORPORATES
UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, RESERVE BANK OF AUSTRALIA, IG MARKETS LIMITED, UNITED STATES. FEDERAL RESERVE BOARD, UNITED STATES. DEPT OF COMMERCE, SAXO BANK A/S, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, VISY INDUSTRIES AUSTRALIA PTY LTD, QANTAS AIRWAYS LIMITED – ASX QAN, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, DOW JONES INDUSTRIAL AVERAGE INDEX, STANDARD AND POOR’S ASX 200 INDEX, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, BLUESCOPE STEEL LIMITED – ASX BSL, NIKKEI 225 INDEX, SHANGHAI COMPOSITE INDEX, HANG SENG INDEX, KOSPI INDEX, LONDON METAL EXCHANGE LIMITED

Share indexes tipped to test recent lows

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Original article by David Rogers
The Australian – Page: 27 : 15-Feb-18

Bank of America Merrill Lynch’s Bull & Bear Indicator suggests that global equities face a further pullback and could fall to around the level seen during the recent sharemarket rout. Meanwhile, BAML’s latest survey of fund managers shows that respondents’ average cash balance has risen by 0.3 per cent to 4.7 per cent, while equity allocation has fallen by 12 per cent and bond allocation has fallen to the lowest level in two decades.

CORPORATES
BANK OF AMERICA NA, MERRILL LYNCH AND COMPANY INCORPORATED, MSCI ALL COUNTRY WORLD INDEX, UNITED STATES. FEDERAL RESERVE BOARD, WESTPAC BANKING CORPORATION – ASX WBC

Shaky markets signal more share pain on way

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Original article by David Rogers
The Australian – Page: 17 & 27 : 8-Feb-18

Futures pricing suggests that the US sharemarket will experience further volatility, despite a rebound on 7 February. The bearish investor sentiment of recent days has prompted renewed support for "safe-haven" assets, including US government bonds and currencies such as the yen. Meanwhile, the Chicago Board Options Exchange’s Volatility Index briefly rose above 50 per cent on 7 February, compared with just 11.5 per cent a week earlier. However, Jeremy Lawson of Aberdeen Standard Investments does not expect global sharemarket volatility to be sustained.

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CHICAGO BOARD OPTIONS EXCHANGE VOLATILITY INDEX, ABERDEEN STANDARD INVESTMENTS, CREDIT SUISSE AG, BELL ASSET MANAGEMENT LIMITED – ASX BLM, STANDARD AND POOR’S 500 INDEX, DOW JONES INDUSTRIAL AVERAGE INDEX, STANDARD AND POOR’S ASX 200 INDEX, FTSE 100 INDEX, NIKKEI 225 INDEX, SHANGHAI COMPOSITE INDEX, HANG SENG INDEX

Bulls to run all year but risks build for 2019

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Original article by David Rogers
The Australian – Page: 30 : 3-Nov-17

The S&P 500 has gained 15.2 per cent so far in 2017, while the S&P/ASX 200 has risen by just 4.7 per cent. They have gained 17 per cent and 8.5 per cent respectively when dividends are included. John Normand of JP Morgan expects equities to continue to rally in 2018, although he says the S&P 500 is likely to record growth in the low double-digits when dividends are taken into account. Meanwhile, he is bearish about the outlook for government bonds, and warns that there are a number of risk factors for global financial markets in 2019.

CORPORATES
STANDARD AND POOR’S 500 INDEX, STANDARD AND POOR’S ASX 200 INDEX, JP MORGAN AND COMPANY INCORPORATED, UNITED STATES. FEDERAL RESERVE BOARD, EUROPEAN CENTRAL BANK, BANK OF JAPAN, ORGANISATION OF PETROLEUM EXPORTING COUNTRIES

Tech sell-off isn’t end of the world

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Original article by Philip Baker
The Australian Financial Review – Page: 32 : 14-Jun-17

The Nasdaq Composite Index has gained nearly 15 per cent so far in 2017, despite shedding 2.5 per cent in the last two trading sessions. While shares in the so-called FAANG stocks (Facebook, Apple, Amazon, Netflix and Google parent Alphabet) have been heavily sold down in recent days, they have all posted strong gains so far in the calendar year. Meanwhile, although US technology stocks are widely considered to be overvalued, the price-to-earnings ratio of the Nasdaq 100 is trading at around 20.3, compared with a peak of around 45 prior to the "tech wreck" in 2000.

CORPORATES
NASDAQ COMPOSITE INDEX, FACEBOOK INCORPORATED, APPLE INCORPORATED, AMAZON.COM INCORPORATED, NETFLIX INCORPORATED, GOOGLE INCORPORATED, ALPHABET INCORPORATED

For markets, the devil was in the lack of detail

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Original article by Jonathan Shapiro
The Australian Financial Review – Page: 13 & 29 : 13-Jan-17

Ewa Turek of Morgan Stanley notes that the first press conference of US president-elect Donald Trump offered few details of the policies he will prioritise after taking office. US markets posted modest gains in response to the press conference, while the Australian market dipped slightly. Garry Laurence of Perpetual adds that investors are waiting for more details of Trump’s policies, as well as guidance regarding the outlook for US interest rates.

CORPORATES
MORGAN STANLEY AUSTRALIA LIMITED, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, STANDARD AND POOR’S ASX 200 INDEX, PERPETUAL LIMITED – ASX PPT, WINGATE ASSET MANAGEMENT PTY LTD, MORGAN STANLEY WEALTH MANAGEMENT AUSTRALIA PTY LTD, UNITED STATES. FEDERAL RESERVE BOARD

Clinton on edge of victory

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Original article by John Kehoe
The Australian Financial Review – Page: 1 & 13 : 9-Nov-16

Sharemarkets rallied on 8 November 2016, amid growing expectations that Democratic Party candidate Hillary Clinton will win the US presidential election. Public opinion polls suggest that Clinton will defeat Republican Party rival Donald Trump, although the result is likely to be very close. However, Trump remained confident of victory as he visited several states on the last day of campaigning for the election. An estimated 40 million Americans had voted prior to election day.

CORPORATES
DEMOCRATIC PARTY (UNITED STATES), REPUBLICAN PARTY (UNITED STATES), STANDARD AND POOR’S ASX 200 INDEX, STANDARD AND POOR’S ASX ALL ORDINARIES INDEX, NIKKEI 225 INDEX, STANDARD AND POOR’S 500 INDEX, DOW JONES INDUSTRIAL AVERAGE INDEX, NASDAQ COMPOSITE INDEX, BMO CAPITAL MARKETS, REAL CLEAR POLITICS

‘Something’s gotta give’: rising stocks, bonds and gold sound alert

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Original article by Michael Roddan
The Australian – Page: 19 & 27 : 13-Jul-16

The Australian sharemarket has gained six per cent since reaching its recent low in the wake of Great Britain’s vote to leave the European Union. Meanwhile, the S&P 500 has risen by 16 per cent since February 2016, and it reached a record high in mid-July. Traditional safe haven investment classes are also in strong demand, with the yield on 10-year Australian government bonds remaining close to a record low and the gold price testing its highest level in more than two years.

CORPORATES
STANDARD AND POOR’S ASX 200 INDEX, STANDARD AND POOR’S 500 INDEX, MACQUARIE GROUP LIMITED – ASX MQG, PLATINUM ASSET MANAGEMENT LIMITED – ASX PTM, BAKER STEEL CAPITAL MANAGERS LLP, UNITED STATES. FEDERAL RESERVE BOARD, BELL POTTER SECURITIES LIMITED, PERPETUAL LIMITED – ASX PPT, JAPAN. OFFICE OF THE PRIME MINISTER, NIKKEI 225 INDEX

It’s a big short-term buying opportunity

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Original article by Jessica Sier
The Australian Financial Review – Page: 29 : 24-Jun-16

Charles de Bolssezon of Societe Generale forecasts that the FTSE 100 will rally in coming months if the UK votes to remain in the European Union. However, the FTSE is tipped to shed about 15 per cent if Britons vote to leave the EU, while the S&P 500 will fall by 10 per cent. Richard Coppleson of Bell Potter says Australia’s benchmark S&P/ASX 200 would also fall sharply in the event of a "Brexit", but he adds that this would create buying opportunities for investors in the short-term.

CORPORATES
SOCIETE GENERALE SA, FTSE 100 INDEX, STANDARD AND POOR’S 500 INDEX, BELL POTTER SECURITIES LIMITED, STANDARD AND POOR’S ASX 200 INDEX, EURO STOXX 50 INDEX, FTSE 250 INDEX, NIKKEI 225 INDEX, CITIGROUP INCORPORATED, BANK OF ENGLAND, UNITED STATES. FEDERAL RESERVE BOARD