The market is down 5. SFE futures were up 17 this morning.
Dow Jones up 54. The Dow was up 55 at best and down 23 at worst and managed to close near its high of the day. The S&P 500 hit a fresh five year high and is holding the break of 1470. US consumer sentiment was down from 72.9 to 71.3 in January which was below the forecast of 75.0. Over the week the Dow Jones was up 1.2%, the S&P 500 up 0.9% and the Nasdaq was up by 0.3%. US markets will be closed on Monday for the Martin Luther King public holiday. The Australian market will be closed for the Australia Day holiday next Monday. Best sectors — industrials, materials. Worst sectors — technology, financials. The US two-year bond yield was down 2bpts to 0.254% and the US 10 year yield was down 4pts to 1.84%. Over the week the US two-year yield was unchanged and the US 10-year yield was down 2.5bpts. European markets mixed — UK FTSE up 0.36%, German DAX down 0.43%, France down 0.07%, Spain down 0.29%, Italy down 0.19%. Metals mixed — copper up 0.12%, nickel down 0.27%, aluminium up 1.38%, lead up 0.81%. Spot iron ore down 30c to $145. The spot iron ore price was down $9.80 last week.
- NAB — A new report predicts commercial real estate prices to fall by 20% over the next two years in UK. This spells bad news for NAB as their UK business may suffer from another round of bad debts. It could cost NAB as much as $453 million. NAB is up 1.63% to 2678c.
- Sims Metal Management (SGM) — Has announced a $60 million write-down of their UK inventory when they release their interims on February 15. The write-down is the result of potentially fraudulent conduct by the managers of their British unit. SGM is down 3.91% to 959c.
- QBE — Is planning significant job cuts as part of a $US200 million annual operating cost savings restructure plan. Industry insiders say at least 700 jobs could be lost from the company’s local operations if the plans are formalised. QBE is up 2.38% to 1203c.
- OZ Minerals (OZL) — Has announced a 43% increase in the total Indicated and Inferred Resources at the Carrapateena deposit at 0.7% Copper cut off. OZL is up 4.66% to 764c. It was up 5.2% on Friday.
- WorleyParsons (WOR) — Has won a three-year contract from Shell Gas Iraq BV to provide project management support and services for the rehabilitation of gas facilities and infrastructure that are part of the scope of Basrah Gas Company (BGC). WOR is up 1.04% to 2425c.
- Beach Petroleum (BPT) down 8% on a late announcement on Friday just before the close.
- Production numbers due today — AZM, AZZ, PRU, GBG.
- Australian CPI numbers are on Wednesday.
- Nine Entertainment will hold a meeting this morning where creditors are expected to approve a $3.4 billion recapitalisation of the company.
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