The Overnight Report: Powell Sooths

Daily Market Reports | Jan 12 2022

World Overnight
SPI Overnight 7356.00 + 63.00 0.86%
S&P ASX 200 7390.10 – 57.00 – 0.77%
S&P500 4713.07 + 42.78 0.92%
Nasdaq Comp 15153.45 + 210.62 1.41%
DJIA 36252.02 + 183.15 0.51%
S&P500 VIX 18.41 – 0.99 – 5.10%
US 10-year yield 1.75 – 0.03 – 1.91%
USD Index 95.61 – 0.35 – 0.36%
FTSE100 7491.37 + 46.12 0.62%
DAX30 15941.81 + 173.54 1.10%

Greg Peel will return after Australia Day.

Equity markets found a bit of upward relief overnight as Fed Chair Jerome Powell made it clear the Fed will raise rates when needed to manage inflation, but Powell also expects the supply-demand mismatch that is driving inflation to abate somewhat.

In response, equity indices turned around, the US 10-year yield declined, as did the US dollar, and commodities rallied too.

Spot Metals,Minerals & Energy Futures
Gold (oz) 1823.00 + 21.40 1.19%
Silver (oz) 22.79 + 0.34 1.51%
Copper (lb) 4.40 + 0.06 1.35%
Aluminium (lb) 1.35 + 0.01 1.10%
Lead (lb) 1.06 + 0.01 1.19%
Nickel (lb) 9.82 + 0.32 3.35%
Zinc (lb) 1.61 + 0.01 0.65%
West Texas Crude 81.41 + 2.98 3.80%
Brent Crude 83.75 + 2.77 3.42%
Iron Ore (t) 128.60 + 3.15 2.51%

The Australian share market over the past thirty days…

ARB ARB Corp Downgrade to Underperform from Neutral Credit Suisse
ATL Apollo Tourism & Leisure Upgrade to Buy from Hold Ord Minnett
BGA Bega Cheese Downgrade to Hold from Accumulate Ord Minnett
JHX James Hardie Industries Downgrade to Equal-weight from Overweight Morgan Stanley
LNK Link Administration Downgrade to Hold from Accumulate Ord Minnett
PME Pro Medicus Upgrade to Hold from Reduce Morgans
TRS Reject Shop Downgrade to Hold from Add Morgans

For more detail go to FNArena's Australian Broker Call Report, which is updated each morning, Mon-Fri.

All overnight and intraday prices, average prices, currency conversions and charts for stock indices, currencies, commodities, bonds, VIX and more available on the FNArena website.  Click here. (Subscribers can access prices on the website.)

(Readers should note that all commentary, observations, names and calculations are provided for informative and educational purposes only. Investors should always consult with their licensed investment advisor first, before making any decisions. All views expressed are the author's and not by association FNArena's – see disclaimer on the website)

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