Attitudes towards Elon Musk's Tesla could be changing after the billionaire's turbulent Twitter takeover. Photos / AP, Getty Images
Keeping you up to date with the latest market moves, in association with Investment firm Jarden.
International
US
US markets were up at the time of writing. The S&P 500 had risen 0.5 per cent, the Nasdaq Composite was 0.3 per cent higher and the Dow Jones Industrial Average had gained 0.8 per cent. The Dow jumped more than 250 points, rebounding from its worst week since September.
A lift in Boeing shares pushed the Dow higher following reports from the Economic Times the airline is close to a deal with Air India to sell up to 150 737 Max jets. Boeing rose 2.8 per cent.
Tesla fell 4.1 per cent after a YouGov survey showed negative views of the company have slightly over taken positive ones. Brand value appears to have reduced after CEO Elon Musk took over Twitter.
Dealmaking activity boosted sentiment. Coupa Software and Horizon Therapeutics were among biggest movers after the companies announced they’ve agreed to be bought.
Coupa Software rose 26.8 per cent and Horizon Therapeutics jumped 15.0 per cent. Grill manufacturer Weber jumped 23.5 per cent after it announced a deal to be taken private by BDT Capital Partners.
Today, eyes are on the November Consumer Price Index for the US, with the market looking for a sign that inflation is slowing.
The Federal Reserve will begin its two-day meeting today and is expected to announce another rate hike on Thursday, although there is potential for a more modest move than in previous months depending on the CPI print.
Rest of the World
European stocks closed lower as investors look ahead to the Federal Reserve meeting in the US and the Bank of England, European Central Bank and the Swiss National Bank monetary policy decisions this week.
The European Stoxx 600 index closed 0.5 per cent lower and the FTSE 100 declined 0.4 per cent.
Asian markets also closed lower as investors await the CPI print and Fed meeting result with the Hang Seng down 2.2 per cent, Shanghai Composite falling 0.9 per cent and Nikkei losing a slim 0.2 per cent.
Commodities
Brent Oil is currently trading 2.1 per cent higher at US$77.70 a barrel, steading after recent declines, while gold is trading 0.7 per cent lower to US$1,783.40 per ounce.
The US 10-year Treasury bond rose a slim 0.2 per cent.
Bitcoin still remains well below the US$20,000 mark, down 0.7 per cent to US$16,988.30.
New Zealand
The NZX 50 Index fell 0.8 per cent yesterday, led downwards by utilities dropping 1.7 per cent.
Synlait Milk, Tourism Holdings and Arvida Group were the top performers of the day, up 3.1, 2.1 and 1.7 per cent, respectively. Synlait Milk has been rallying since its late-November trough.
Eroad slumped 6.8 per cent, bringing it to a 78.1 per cent decline year to date. Yesterday it released the results from its second annual sustainability survey.
Contact Energy will be added into the Dow Jones Sustainability Asia Pacific Index, with rebalancing occurring on Friday. Contact Energy declined 0.5 per cent yesterday, following the trend of utilities decline.
Infometrics’ assessment of inbound tourism data reports that tourist arrivals totalled 161,600 in October, up 6.8% from 151,300 in September.
Arrivals from the UK, Canada, and United States have surpassed 60% of their pre-pandemic levels. NZ tourist departures still exceed inbound arrivals but the gap is reducing.
Australia
The ASX 200 traded down 0.5 per cent on Monday.
The utilities sector also dragged the index downwards in Australia, falling 4.1 per cent following an announcement about controlling predicted energy price spikes.
Basic minerals and consumer non-cyclicals sectors fell 1.2 and 1.1 per cent respectively.
Australia’s Prime Minister announced on Friday his government is partnering with the state governments “to shield Australian families and businesses from the worst impacts of predicted energy price spikes”.
As part of this proposed package, temporary price caps would be placed on gas and coal. The oil and gas industry said yesterday it has requested an urgent meeting with the Prime Minister, expecting the reforms will reduce investment confidence in Australia and could in fact push up gas prices.
Cooper Energy said the Government proposal undermined the incentive to explore and develop incremental gas at the time it was needed most.
The Government’s proposed Mandatory Code of Conduct which includes details on the “reasonable pricing provision” is subject to consultation until February 2023. Cooper Energy fell 7.7 per cent yesterday.
Utilities and mining stocks painted the index red, with Silver Lake Resources and Coronado Global Resources down 7.5 and 5.4 per cent respectively.
The market will get an insight business and consumer sentiment today with the NAB Business Conditions/Confidence, Westpac Consumer Confidence, and CBA Household Spending being released.
Coming up today
In NZ, Real Estate Institute of New Zealand House Sales data is being released.
In Australia, there will be releases of NAB Business Conditions/Confidence, Westpac Consumer Confidence, and CBA Household Spending. Further afield in the US, eyes are on the CPI and NFIB Small Business Optimism.
For more information on the latest market moves, get in touch with Jarden.
All market pricing and announcements are sourced from Refinitiv, NZX and ASX.
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