Mon 12 Feb 2018


Shows:  watch Nightly Business Report. watch PBS NewsHour. watch Bloomberg Technology.
Indices: chart Market Today. Market (52 weeks). Portfolio (52 weeks).
FX:        chart USD Today. USD Year. AUD Today. AUD Year.


In Portfolioticker today

read_this Hey Jarvis, how did we go today?

  • Today at the stock market Opinion
  • The portfolio today Opinion
  • News
  • flag_japan Japan Update
  • flag_china China Update
  • Today at the stock market

    bull/bearWall Street’s three major indexes rebounded on Monday with broad-based gains as investors regained some confidence after U.S. equities’ biggest weekly drop in two years, but strategists stopped short of calling an end to the market pullback.

    • The S&P 500 rose 36.45 points, or 1.39%, to 2,656
    • The Dow Jones Industrial Average rose 410.37 points, or 1.7%, to 24,601.27
    • The Nasdaq Composite rose 107.47 points, or 1.56%, to 6,981.96.
    • Advancing issues outnumbered declining ones on the NYSE by a 2.80-to-1 ratio; on Nasdaq, a 1.90-to-1 ratio favored advancers.
    • The S&P 500 posted one new 52-week high and eight new lows; the Nasdaq Composite recorded 24 new highs and 43 new lows.
    • About 8.13 billion shares changed hands on U.S. exchanges compared with the 8.5 billion average for the last 20 trading days.

    All the S&P 500’s major 11 sectors rose, though bond-proxy sectors real estate, utilities and telecommunications services underperformed as investors monitored rising interest rates after U.S. 10-year Treasury yields hit a new four-year high of 2.902 earlier in the day.

    The S&P’s biggest boosts from single stocks came from Apple Inc, which rose 4%, and Amazon.com, which ended up 3.5%.

    The S&P materials sector was the biggest percentage gainer with a 2.1% rise followed by a 1.8% gain in information technology.

    Stocks were helped a little by Trump’s budget proposal for fiscal 2019, which includes $200 billion for infrastructure spending, more than $23 billion for border security and immigration enforcement, as well as $716 billion for military programs, including the U.S. nuclear arsenal.

    The CBOE Volatility Index, the most widely followed barometer of expected near-term stock market volatility, ended down 3.45 points at 25.61, its lowest close since 2 Feb 2018.

    The market took fright after strong wage-growth data on 2 Feb 2018 raised the specter of rising inflation and fears of accelerated interest rate hikes, which ignited a rally in bond yields and a sell-off in stocks.

    Michael Purves, chief global strategist at Weeden & Co in New York, said Monday’s move showed “big, fast, money saying, ‘Wait a second, buy this dip.’ You test the key support level and go back and test it again, which is what we did on Friday … the long-term fundamentals will win out, but I think volatility will also be part of that equation.”

    But while last week’s panic selling appeared to be done, strategists were not calling an end to the pullback. The S&P still closed 7.6% below its 26 Jan 2018 record closing high. It confirmed a correction on Thursday, when it dropped 10 percent below the record.

    Jeff Schulze, investment strategist, at Clearbridge Investments, in New York is expecting more volatility “as the tug-of-war from short-term negative price momentum is put up against the long-term fundamentals.”Reuters

    Market indices

    Market indices
    ^ Market indices today (mouseover for 12 month view) Chart: Google Finance

    Index Ticker Today Change 31 Dec 17 YTD
    S&P 500 SPX (INX) 2,656.00 +1.39% 2,238.83 -0.66%
    DJIA INDU 24,601.27 +1.69% 19,762.60 -0.48%
    NASDAQ IXIC 6,981.96 +1.56% 5,383.12 +1.13%

    Portfolio Indices

    USD and AUD denominated indices over the past 52 weeks (Chart: Bunting)
    ^ USD and AUD denominated indices over the past 52 weeks Chart: Bunting

    Index values

    Index Currency Today Change 31 Dec 17 YTD
    USD-denominated Index USD 3.061 +3.20% 2.105 -0.21%
    Valuation Rate USD/AUD 0.78989 +0.61% 0.72663 +0.58%
    AUD-denominated Index AUD 3.878 +2.58% 2.895 -0.79%

    Portfolio stock prices

    Stock Ticker Today Change 31 Dec 17 YTD
    Alphabet A GOOGL $1,054.56 +0.79% $1,053.00 +0.14%
    Alphabet C GOOG $1,051.94 +1.36% $1,045.65 +0.60%
    Apple AAPL $162.71 +4.02% $169.23 -3.86%
    Amazon AMZN $1,386.23 +3.48% $1,169.54 +18.52%
    Ebay EBAY $42.32 +1.58% $37.76 +12.07%
    Facebook FB $176.41 +0.17% $176.46 -0.03%
    PayPal PYPL $75.28 +0.70% $73.61 +2.26%
    Twitter TWTR $30.95 -1.78% $24.01 +28.90%
    Visa V $118.47 +1.84% $114.02 +3.90%
    VMware VMW $116.58 +3.04% $125.32 -6.98%

    FX: USD/AUD

    USD

    DXY movements
    ^ Bloomberg Dollar Spot Index (DXY) movements today (mouseover for 12 month view) Chart: Bloomberg

    The Bloomberg Dollar Spot Index (DXY) fell 0.3%.
    The EUR rose 0.3% to USD 1.229.
    Britain’s GBP was little changed at USD 1.3834.
    South Africa’s ZAR rose 0.5% to 11.93 per USD.

    The yield on 10-year Treasuries was little changed at 2.85%.
    Germany’s 10-year yield rose 1 basis point to 0.75%.
    Britain’s 10-year yield rose 3 basis points to 1.6%.
    Bloomberg

    AUD

    AUD movements
    ^ AUD movements against the USD today (mouseover for 12 month view) Chart: xe.com

    Oil and Gas Futures

    Futures prices

    Prices are as at 15:49 ET

    • NYMEX West Texas Intermediate (WTI): $59.30/barrel +0.17% Chart
    • ICE (London) Brent North Sea Crude: $62.63/barrel -0.25% Chart
    • NYMEX Natural gas futures: $2.56/MMBTU -0.77% Chart

    flag_japan Japan update

    Currency: USD/JPY

    JPY movements
    ^ JPY movements against the USD over the past month (mouseover for inverse) Chart: xe.com

    Stockmarket: Nikkei 225

    The Japan Exchange Group (Tokyo and Osaka Exchanges) is closed for a public holiday.

    flag_china China update

    Consumer Prices. Jan 2018

    In January 2018, the consumer price index (CPI) went up by 1.5 percent year-on-year. The prices grew by 1.5 percent both in cities and rural areas. The food prices went down by 0.5 percent, and the non-food prices increased 2.0 percent. The prices of consumer goods went up by 1.0 percent and the prices of services grew by 2.3 percent.

    In January, the consumer prices went up by 0.6 percent month-on-month. Of which, prices grew by 0.6 percent both in cities and rural areas. The food prices went up by 2.2 percent, and the non-food prices went up by 0.2 percent. The prices of consumer goods increased 0.8 percent, and the prices of services increased 0.3 percent.

    I. Year-on-Year Changes of Prices of Different Categories

    Prices of food, tobacco and liquor, went up by 0.2 percent year-on-year, affecting nearly 0.05 percentage points increase in the CPI. Of which, the prices of eggs, went up by 14.2 percent, affecting nearly 0.08 percentage points increase in the CPI; fresh fruits, up by 6.4 percent, affecting nearly 0.11 percentage point increase in the CPI; aquatic products, up by 2.4 percent, affecting nearly 0.04 percentage points increase in the CPI; grain, up by 1.2 percent, affecting nearly 0.02 percentage points increase in the CPI; meat, down by 5.9 percent, affecting nearly 0.28 percentage points decrease in the CPI (price of pork was down by 10.6 percent, affecting nearly 0.30 percentage points decrease in the CPI); fresh vegetables, down by 5.8 percent, affecting nearly 0.16 percentage points decrease in the CPI.

    cn_cpi_20180212

    The prices of all the other seven categories increased year-on-year. Of which, the prices of health care, residence, household articles and services, increased 6.2, 2.7 and 1.5 percent respectively, clothing, other articles and services, increased 1.4 and 1.2 percent respectively, education, culture and recreation, transportation and communication, increased 0.9 and 0.2 percent respectively.

    II. Month-on-Month Changes of Prices of Different Categories

    Prices of food, tobacco and liquor went up by 1.5 percent year-on-year, affecting nearly 0.45 percentage points increase in the CPI. Of which, prices for fresh vegetables, went up by 9.5 percent, affecting nearly 0.23 percentage points increase in the CPI; fresh fruits, up by 5.7 percent, affecting nearly 0.10 percentage point increase in the CPI; aquatic products, up by 2.8 percent, affecting nearly 0.05 percentage points increase in the CPI; meat, up by 0.6 percent, affecting nearly 0.03 percentage points increase in the CPI (price of pork was up by 0.7 percent, affecting nearly 0.02 percentage points increase in the CPI).

    cn_cpi_categories_20180212

    Among the prices of the other seven categories, six increased and one decreased month-on-month. Of which, the prices of other articles and services, education, culture and recreation, transportation and communication increased 0.8, 0.5 and 0.4 percent respectively, household articles and services, health care, residence, increased 0.3, 0.2 and 0.1 percent respectively, clothing decreased 0.3 percent.

    National Bureau of Statistics, “Consumer Prices for January 2018“, 12 Feb 2018 More

    Producer Prices. Jan 2018

    In January 2018, Producer Price Index (PPI) for manufactured goods increased 4.3 percent year-on-year, and increased 0.3 percent month-on-month. The purchasing price index for manufactured goods increased 5.2 percent year-on-year, and increased 0.5 percent month-on-month.

    1. Year-on-Year Changes of Prices of Different Categories

    The year-on-year change of producer prices for means of production increased 5.7 percent, meaning 4.25 percentage points increase in the overall price level. Of which, producer prices for mining and quarrying industry increased 6.8 percent; that of raw materials industry increased 7.3 percent; that of manufacturing and processing industry increased 4.9 percent. Producer prices for consumer goods increased 0.3 percent year-on-year, meaning 0.09 percentage points increase in the overall price level. Of which, producer prices for foodstuff remained unchanged, that of clothing increased 0.8 percent, that of commodities went up by 1.4 percent, and that of durable consumer goods went down by 0.3 percent.

    cn_ppi_20180212

    The year-on-year purchaser price indices for building materials and non-metallic went up by 12.3 percent, non-ferrous metal materials and wires went up by 10.5 percent, ferrous metal materials increased 9.0 percent, fuel and power increased 6.2 percent.

    2. Month-on-Month Changes of Prices of Different Categories

    The producer prices for means of production increased 0.3 percent month-on-month, meaning 0.26 percentage points increase in the overall price level. Of the total, producer prices for mining and quarrying industry increased 1.3 percent, that of raw materials industry increased 0.9 percent, that of manufacturing and processing industry remained unchanged. Producer prices for consumer goods increased 0.1 percent, month-on-month, meaning 0.02 percentage points increase in the overall price level. Of which, producer prices for foodstuff and durable consumer remained unchanged, that of clothing increased 0.2 percent, that of commodities increased 0.1 percent.

    cn_ppi_cats_20180212

    The month-on-month purchaser price indices for building materials and non-metallic went up by 1.4 percent, fuel and power increased 1.3 percent, ferrous metal materials went up by 0.7 percent, non-ferrous metal materials and wires increased 0.5 percent.

    National Bureau of Statistics, “Producer Prices for the Industrial Sector for January 2018“, 12 Feb 2018 More

    Currency: USD/CNY

    CNY movements
    ^ CNY movements against the USD over the past month (mouseover for inverse) Chart: xe.com

    Stockmarket: CSI300

    CSI300 movements
    ^ Shanghai CSI300 movements over the past week Chart: Google Finance