Monday, January 17, 2022

Finspiration Australia. Objective analysis of the Australian and overseas stockmarkets.

 Tue. a.m. 18/1/22.  Europe up, U.S. closed.

Overnight.

The U.S. stock and bond markets were closed for MLK Holiday.  Europe rose.  German DAX was up +0.3% while UK FTSE was up strongly +0.9%.  European Stoxx600 rose +0.7%.  Toronto Composite was up +0.8%.  Canada, like Australia, has a strong resources segment, but the composition is different from Australia's.  While Australia is skewed to iron ore, Canada is skewed to energy.  The Toronto index has a degree of correlation with Australia, but it is not strong.

Commodities.

Oil prices were generally higher last night.  U.S. Nymex was up +0.6%.  Copper up modestly +0.2%.  Gold up +0.1%.  Iron Ore fell -2.2%.  That is likely to impact the prices today for RIO and FMG, the two big miners most dependent on Iron Ore.  BHP is more diversified.  BHP up in the U.K. +1.4%.

All of the above suggests a modest positive opening for the XJO.  At 10.06 a.m. Eastern Summer Time, XJO was up just 3.2 points up - not enough to move the %age indicator.


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