The market is up 18. SFE futures were up 34 this morning.
Dow Jones up 85. The Dow was up 123 at best and down 1 at worst. US markets all up on the back of mixed economic data and some fourth quarter earnings results. Metals, precious metals, oil, US bond yields and European markets all up. US housing starts were up 12.1% in December (near 5-year high) which was well above the forecast, Initial Jobless Claims were down to 335,000 last week which beat the forecast of 365,000 and the Philadelphia Fed Manufacturing index was down from +4.6 to minus 5.8 in January which was inline with forecasts. Bank of America down 4.24% to 1128c and Citigroup down 2.92% to 4124c after disappointing 4Q results. Morgan Stanley are due to announce their Q4 earnings before Wall St opens on Friday. Best sectors — Consumer Discretionary, Materials, Energy, Industrials, Health Care. Worst sectors — Financials, Telecoms.
- Waiting for Chinese GDP — fixed asset investment, industrial production, and retail sales numbers today. GDP number expected to rise from 7.4% to 7.8% marking the bottom of the Chinese growth slowdown. Optimism is being fed by last week’s stronger than expected Export and Import numbers. Total Chinese imports YoY in December 2012 lifted 6.0% (Consensus: 3.5%). Exports lifted 14.1% (Consensus: 5.0%).
- Rio Tinto (RIO) — WRITEDOWN and RESIGNATION – RIO up this morning on the back of the Albanese resignation and a $14bn write-down on Alumina and Riversdale assets. RIO up 2.83% to 6643c.
- Qantas Airways (QAN) – Has cancelled an order for one of Boeing 787 Dreamliner because of the uncertainty over the growth prospects of their Jestar unit’s long-haul business. QAN is down 0.66% to 151c.
- Iluka (ILU) — Goldman Sachs has a Sell recommendation after the production numbers yesterday. ILU is down 0.92% to 964c.
- Astro Japan (AJA) completes institutional placement and relists.
- Production numbers: Alacer Gold (AQG), Gindlabie Metals (GBG), Grange Resources (GRR), Regis Resources (RRL). Share buybacks – CGF, GPG.
- Production numbers — Next week we have MBN (Mon), BHP (Wed), FMG, OZL, PNA (Thurs).
- Results season starting — GUD results next Tuesday and RMD on Friday.
- Retailers — Q1 sales numbers from retailers coming up — WES (Wed 30th Jan), WOW (Thurs 31st Jan), David Jones (Thurs 14th Feb).
- US Results — Morgan Stanley tonight.
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