Republican US Senate candidate Blake Masters holds his son, Rex, 2, as he speaks with supporters in Gilbert, Arizona. Photo / Matt York, AP
Republican US Senate candidate Blake Masters holds his son, Rex, 2, as he speaks with supporters in Gilbert, Arizona. Photo / Matt York, AP
Keeping you up to date with the latest market moves, in association with Investment firm Jarden
International
US
US markets have rallied as investors anticipate the US midterm election results. At the time of writing the S&P 500 was up 1.1 per cent, the Nasdaq Composite rose 1.3per cent and the Dow Jones Industrial Average gained 1.5 per cent.
Democrats are trying to maintain their majorities in Congress for the final two years of President Joe Biden's first term. Republicans are favoured to win control of the House, while the race for Senate control appears tight, in part fuelled by what is reported to be high economic dissatisfaction among US voters.
By sector, materials and technology led S&P 500 gains, up 2.4 and 1.9 per cent respectively, while energy was the only sector in the red, down 0.1 per cent.
SolarEdge Technologies was the top performer of the S&P 500, up 18.7 per cent at the time of writing. The company reported earlier in the week and appears to have gained momentum on news that a surge in European sales lifted revenue to a record for the third quarter.
PayPal rose 6.6 per cent, partially recovering from the share price decline following the reporting of its third quarter results on Friday.
European stocks closed higher, ahead of the US midterm elections. The European Stoxx 600 index gained 0.8 per cent and the FTSE 100 rose 0.1 per cent in response.
Asian markets were a mixed bag with the Hang Seng closing down 0.2 per cent, the Shanghai Composite losing 0.4 per cent and Nikkei up 1.3 per cent.
Commodities
The US 10-year Treasury bond dropped 1.8 per cent to a yield of 4.14 per cent. Brent Oil is currently trading down 1.1 per cent at US$69.90 a barrel, following the US Energy Information Administration slashing its forecast for US oil production next year, predicting that output would fall short of an all-time high.
Gold hit a one-month high as the USD slide encouraged buying, up 2.2 per cent to US$1712.20 per ounce.
Bitcoin dropped below the US$20,000 mark, down 4.5 per cent to US$19,751.0.
The New Zealand market declined yesterday, with the benchmark NZX 50 index down 1.3 per cent.
Consumer non-cyclicals rose 2.9 per cent and financials rose 0.8 per cent, while all remaining sectors were in the red.
Eroad extended its gains, up 5.1 per cent after narrowing its financial year 2023 guidance range and announcing a new North American customer earlier in the week.
The a2 Milk Company rose 4.2 per cent. Last week a US Food and Drug Administration update allowed a2 Milk Stages 1 and 2 infant formula to be sold at major US retail outlets.
This week an on-market share buyback commenced on both the NZX and ASX under a programme announced on 29 August, with a2 Milk intending to undertake a capital return of up to NZ$150m.
The Reserve Bank of New Zealand (RBNZ) Governor, Adrian Orr, was reappointed for another five-year term starting in March 2023.
Tomorrow the RBNZ is expected to release its five-year review of monetary policy, accompanied by some independent reviews.
Australia
The ASX 200 traded 0.4 per cent higher yesterday, eyeing a third straight session of gains led by financial stocks, supported by optimism about the US Federal Reserve considering easing off on its aggressive rate-hike stance.
Westpac rose 2.0 per cent and NAB 0.6 per cent.
James Hardie Industries fell 13.7 per cent after downgrading its earnings forecast for financial year 2023 on slowing construction activity at the release of its half year update.
This was flagged as the combination of a decline in volumes expected across all three key regions – a downturn in new home construction in the main market of North America, a slowing in Australia and a Europe "housing recession".
Sims share price was down 9.7 following the release of a trading update at the AGM. It advised trading conditions had tightened margins, with expected first half underlying earnings before interest and tax to be in the range of A$65-$75 million, well down on the first half of 2022 (A$361.7 million).
Coming up today
Locally, Pushpay release interim results and Manawa Energy has its annual result. In Australia there are also earnings releases with NAB FY Earnings, REA Group Q1 Earnings, News Corp Q1 Earnings, Orica FY Earnings. Coles Group, Newcrest Mining and Domain Holdings have AGMs.
In China, the Producer Price Index and the Consumer Price Index are being released.
• 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. The Jarden Brief is provided for general information purposes only. It reflects views and research available at the time of publication, using external sources, systems and other data and information we believe to be accurate, complete and reliable at the time of preparation. We make no representation or warranty as to the accuracy, correctness and completeness of that information, and will not be liable or responsible for any error or omission. The Jarden Brief is not to be relied upon as a basis for making any investment decision. Please seek specific investment advice before making any investment decision. Jarden Securities Limited is an NZX Firm. A financial advice disclosure statement is available free of charge at https://www.jarden.co.nz/our-services/wealth-management/financial-advice-provider-disclosure-statement/. Full disclaimer available at: https://www.jarden.co.nz/wealth-sales-and-research-disclaimer
