Daily Market Update
US Stock markets rallied yesterday after PPI data came in stronger than expected but the details were mixed, with components that contribute to the PCE gauge more muted. Investors once again took a ‘glass half full’ interpretation of the results as yields and the dollar dropped whilst risk products gained ground. This result and indeed the market reaction now puts an even greater emphasis on tonight’s CPI data release where another topside surprise is unlikely to see the same reaction.
Looking ahead to the rest of the day’s action, Asian markets are likely to take the lead from Wall Street and start the day on the front foot. Focus will move to Australian markets early in the day as the Quarterly Wage Price Index numbers are released ahead of tomorrow’s employment date. But the real focus will once again come in the New York session with those key CPI numbers being released alongside Retail Sales numbers and the Empire State Manufacturing Index data.
| Market | Daily Change | Close |
| Dow | +0.32% | 39,558 |
| S&P | +0.48% | 5,246 |
| Nasdaq | +0.75% | 16,511 |
| USD | -0.21% | 104.99 |
| US Treasury – 2 Year | -4 | 4.819% |
| US Treasury – 10 Year | -4 | 4.445% |
| Oil – Brent | -1.18% | $82.38 |
| Oil – WTI | -1.39% | $78.02 |
| Gold | +0.86% | $2,358 |
Today’s Events AEST:
Asian Session
- 11.30 am – Quarterly Australian Wage Price Index
US Session
- 10.30 pm – US CPI and Core CPI
- 10.30 pm – US Retail Sales and Core Retail Sales
- 10.30 pm – Empire State Manufacturing Index
