Originally published by Rivkin Securities
The cautious rally in stocks continued overnight with the Dow Jones climbing 0.25%. The S&P 500 climbed 0.2% to 2,862, which is just 10 points shy of a new record high close price. Intraday, the index did reach the prior high point but faded into the close. This now marks a bull run that has been in place since the Global Financial Crisis, a nine-year rally that is one of the longest in history.
The US dollar index has now retreated off recent highs after a rally that has lasted for the last four months. This has allowed the Australian dollar to rally off its lows although it is still well below levels from even a few months ago, currently trading at US$0.735.
Australian Prime Minister Malcolm Turnbull survived a leadership challenge from the then Home Affairs Minister Peter Dutton although there is an expectation that he will try again at some point in the near future. The ASX 200 had a weak day yesterday, falling almost 1%, possibly on the uncertainty created by the leadership challenge and the expectation that there is more to come and ASX 200 futures are pointing to a lower open this morning, currently down 19 points.
Data Releases:
- FOMC Meeting Minutes 4:00am AEST