The market is down 37. Our Futures were up 7 this morning. The Dow Jones finished down 19. The Dow was down 40 at worst ahead of the Fed chairman’s testimony to Congress on Wednesday.

The Russell 2000 index traded above the 1000 level for its first time ever, and the S&P 500 hit a new all-time high.

Chicago Fed President Charles Evans commented that the appropriate level of monetary policy was in place, allowing the economy to reach “escape velocity” next year. The labour market has made “very good progress” but “needed a little more time” before the Fed will be confident.

European markets mixed — UK FTSE up 0.48%, Germany up 0.69%, France up 0.54%, Spain down 0.748%, Italy down 0.56%.

Metals up — copper up 1.28%, nickel up 1.97%, zinc up 0.72%, lead up 1.20%, tin up 1.82%. Spot iron ore down 10c to $123.00. Gold was up $27.30 to $1392.00. Oil was up 63c to $96.65.

ANNOUNCEMENTS

  • RBA minutes are out 
  • Fleetwood (FWD) — Profit warning — Downgraded 2013 financial year guidance anticipating that second half earnings will be marginally below those reported for the first half. Previous guidance was for an improved second half of financial year 2013. Patersons had previously forecast second half 2013 EBIT of $28.3 million up from first half of $13.2 million. Now Patersons forecasts second half 2013 EBIT of $12 million. Target price falls from 867c to 650c. FWD is down 19.74% to 606c.
  • Transfield Services (TSE) — Profit warning — Has cut its annual profit guidance for the second time this year and says it will cut 113 workers. Net profit is expected to be between $62 million-$65 million, down from $85 million-$90 million. In addition to the job losses the company said it would bring forward previously announced spending cuts worth $26 million. TSE is down 21.57% to 100c.
  • Arrium (ARI) — Has announced an increase of 8.3% in iron ore shipments in the third quarter as it continues to boost output. The company exported 1.97 million metric tonnes of iron ore in the three months to March 31 up from 1.82 million tonnes. ARI said it expected iron-ore exports to reach between 8.2 million-8.4 million tonnes in the year to June 30. Previous guidance was for between 8 million-9 million. ARI is down 2.22% to 88c.
  • Seven West Media (SWM) — Has announced a new CEO. Television executive Tim Worner has been appointed as CEO. Worner takes over from Don Voelte, who became CEO in mid-2012. SWM is down 0.85% to 234c.
  • Fantastic Holdings (FAN) — Furniture retailer Funtastic has downgraded its profit guidance due to weak trading over the past few months. The company expects profit to be in the range of $13.5 million-$15.5 million. Brokers have all cut their ratings — JP Morgan have cut to underweight from neutral, target reduced by 29%. Morgan Stanley has cut its rating to underweight from overweight, target cut 47%. Macquarie has cut to neutral from outperform. FAN is down 30.56% to 200c.