Market Wraps

Morning Wrap: ASX 200 to edge lower, copper prices hit two-year highs, Anglo American rejects BHP's revised offer

Tue 14 May 24, 8:24am (AEST)

ASX 200 futures are trading 52 points lower, down -0.68% as of 8:30 am AEST.

Stocks are expected to start Tuesday's session lower, following a mixed lead from Wall Street. Equity investors are eyeing some key moves in the commodities market - chief among them, copper prices hitting a fresh two-year high.

And speaking of copper, BHP has revealed that Anglo American has turned down its revised takeover offer of nearly US$43 billion. For macro investors, all eyes will turn to tonight's Budget and what will likely be a $9 billion surplus.

Let's dive in.

Overnight Summary

Mon 27 May 24, 8:20am (AEST)

Name Value % Chg
Major Indices
S&P 500 5,305 +0.70%
Dow Jones 39,070 +0.01%
NASDAQ Comp 16,921 +1.10%
Russell 2000 2,070 +1.04%
Country Indices
Canada 22,321 +0.54%
China 3,089 -0.88%
Germany 18,693 +0.01%
Hong Kong 18,609 -1.38%
India 75,410 -0.01%
Japan 38,646 -1.17%
United Kingdom 8,318 -0.26%
Name Value % Chg
Commodities (USD)
Gold 2,334.5 -0.12%
Iron Ore 117.66 +0.11%
Copper 4.7535 -0.81%
WTI Oil 77.72 +1.11%
Currency
AUD/USD 0.6629 +0.35%
Cryptocurrency
Bitcoin (AUD) 103,344 -0.87%
Ethereum (AUD) 5,803 +2.72%
Miscellaneous
US 10 Yr T-bond 4.467 -0.18%
VIX 11.93 -6.58%

US Sectors

Fri 24 May 24, 8:22am (AEST)

SECTOR % CHG
Information Technology +0.56%
Materials -0.88%
Energy -1.02%
Health Care -1.08%
Communication Services -1.15%
Consumer Staples -1.20%
SECTOR % CHG
Industrials -1.22%
Financials -1.51%
Consumer Discretionary -1.52%
Utilities -1.70%
Real Estate -2.16%

S&P 500 SESSION CHART

SPX Mon 13 May 2024
A 25 point trading range indicates traders are waiting and watching for Wednesday's US CPI and retail sales prints. (Source: TradingView)

OVERNIGHT MARKETS

  • Dow slips for first losing day in nine as consumers’ expectations for inflation rise

  • European markets close mixed as traders look ahead to U.S. inflation data; Maersk up 7%

  • Treasury yields dip as investors look to key data in week ahead

  • Oil prices gain on demand optimism, attention shifts to U.S. inflation

  • Gold dips as traders await U.S. inflation data for more Fed rate cut cues

  • Copper prices hit 2-year high, entering overbought territory

INTERNATIONAL STOCKS

  • GameStop, AMC soar more than 70% each as ‘Roaring Kitty’ meme trader resurfaces

  • Intel rises on report of $11 billion Apollo investment in new chip plant

  • BHP says Anglo American rejected $42.7 billion revised proposal

CENTRAL BANKS

  • BOJ announces smaller JGB purchase operation for the first time since ending YCC

  • Asian central banks are increasingly taking action to boost currency protection against strong US dollar

  • PBOC contacts brokers over long-dated bond pricing that will be used to support investment

  • BoE may cut interest rates more cautiously than usual because this economic recovery is different from past recessions

  • RBI intervention fears dent hopes that rupee will stage a rebound

ECONOMY

  • Australia’s budget is expected to target housing crisis as prices keep climbing

  • Underlying US inflation probably moderated in April for first time in six months, offering mild relief for Fed

  • China's credit contraction adding pressure on the government to spend more money, PBOC to help

  • Economists predict faster growth for the Eurozone economy in 2024 citing improving economic conditions

Industry ETFs

Thu 16 May 24, 8:21am (AEST)

Name Value % Chg
Commodities
Silver 27.12 +3.79%
Gold Miners 35.91 +1.44%
Steel 72.55 +1.08%
Uranium 31.46 +1.03%
Copper Miners 49.68 -0.06%
Lithium & Battery Tech 44.92 -1.90%
Strategic Metals 54.63 -2.36%
Industrials
Construction 74.65 +2.68%
Agriculture 23.86 +0.68%
Aerospace & Defense 134.36 -0.22%
Global Jets 21.07 -0.52%
Healthcare
Biotechnology 137.34 +1.38%
Cannabis 5.15 +0.78%
Name Value % Chg
Cryptocurrency
Bitcoin 26.84 +7.45%
Renewables
Hydrogen 6.04 +0.83%
Solar 43.73 -0.09%
CleanTech 9.34 -0.11%
Technology
Semiconductor 230.67 +2.81%
Sports Betting/Gaming 17.7839 +1.80%
Cybersecurity 29.79 +1.50%
Robotics & AI 31.95 +1.46%
Cloud Computing 20.58 +1.23%
FinTech 26.26 +1.08%
E-commerce 24.83 +0.36%
Electric Vehicles 24.83 +0.32%
Video Games/eSports 67.86 -0.80%

Key Events

Upcoming floats and listings

  • Sun Silver – 15 May @ 11am

Companies trading ex-dividend:

  • Tasmea (TEA)– 14 May - $0.025

  • Sandon Capital Investments (SNC) – 15 May - $0.028

  • Autosports Group (ASG) – 16 May - $0.10

Economic calendar (AEST):

  • 4:00pm – GBP – Claimant count change, average earnings, unemployment rate

  • Tentative – CNY – Foreign direct investment

  • 7:30pm - AUD - Federal Budget Speech

This Morning Wrap was written by Hans Lee and Chris Conway.

Written By

Hans Lee

Senior Editor

Hans is one of the Senior Editors at Livewire Markets and Market Index. He created Signal or Noise and leads the team's coverage of the global economy and fixed income markets.

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