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Overseas Market Report

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Overseas Market Report - International Markets Roundup

Thursday 21 February 2019 | Close

[Morningstar with AAP]: Weak economic reports pressured US stocks on Thursday after the market's recent run of gains

Thursday 21 February 2019 | Close

Foreign Equities Close Change %Change
Dow Jones (US) 25851 -104 -0.40
S&P 500 2775 -10 -0.35
NASDAQ 7460 -29 -0.39
FTSE 100 Index 7167 -61 -0.85
DAX 30 11423 21 0.19
CAC 40 5196 0 --
Nikkei 225 (Japan) 21464 33 0.15
HKSE 28630 116 0.41
SSE Composite Index 2752 -9 -0.34
NZ 50 9301 51 0.56

Thursday 21 February 2019 | Close

Commodities US$ Close Change %Change
Aluminium /t 1885 36 1.96
Copper /t 6395 -33 -0.52
Nickel /t 12776 -52 -0.41
Gold /oz 1323 -12 -0.91
Silver /oz 15.8 -0.2 -1.57
Oil - West Texas crude /bbl 57.0 -0.2 -0.35
Lead /t 2058 31 1.52
Zinc /t 2704 -21 -0.77

Thursday 21 February 2019 | Close

Currency Close Pts Change % Change
$A vs $US 0.7087 -0.0079 -1.10
$A vs GBP 0.5437 -0.0053 -0.96
$A vs YEN 78.48 -0.88 -1.11
$A vs EUR 0.6254 -0.0061 -0.96
$A vs $NZ 1.0423 -0.0025 -0.24
$US vs Euro 0.8817 0.0006 0.06
$US vs UK 0.7665 -- --
$US vs CHF 1.0007 0.0006 0.06

[Morningstar with AAP]: Weak economic reports pressured US stocks on Thursday after the market's recent run of gains


Asian markets finished mixed as of the most recent closing prices.

Positive signs on the seven-month trade war gave Hong Kong shares a slight lift. The Hang Seng gained 0.41 per cent. Personal computer maker Lenovo Group soared 12 per cent after reporting quarterly profit that exceeded analysts' estimates.

The Shanghai Composite lost 0.34 per cent.

In Japan, the Nikkei 225 rose 0.15 per cent.


European markets finished mixed as of the most recent closing prices.

The DAX gained 0.19 per cent, while London's FTSE 100 was off 0.85 per cent.

British Gas-owner Centrica hit a near 16-year low and fell 11.7 per cent after warning that a national price cap on energy bills would hurt its 2019 results.

BAE Systems fell 7.9 per cent on its worst day in five years. It said German moves to block exports to Saudi Arabia could hurt its deals with Riyadh and weigh on its financial performance.

Tobacco company Imperial Brands shed 4.1 per cent as the stock traded ex-dividend

Shares in France were unchanged with the CAC 40 at 5196.11.

N America

Weak economic reports pressured US stocks on Thursday after the market's recent run of gains, and a drop in healthcare shares added to the bearish momentum.

The Commerce Department said new orders for key US-made capital goods unexpectedly fell in December, pointing to a further slowdown in business spending on equipment that could crimp economic growth.

Separate data showed the Philadelphia Federal Reserve's gauge of US. Mid-Atlantic business activity declined in February to its weakest level since May 2016, while another report showed US existing home sales dropped last month to the lowest level since November 2015.

Recent gains in the market have been driven by hopes of progress in US-China trade talks and dovish signals from the Federal Reserve. Despite the dip, the S&P 500 hovers near two-month highs and is up about 18 per cent since its late-December low.

The US and China have started to outline commitments in principle on the stickiest issues in their trade dispute, marking the most significant progress yet toward ending a seven-month trade war, sources told Reuters. The two sides were trying to reach agreement before 1 March, Reuters reported.

The Dow Jones Industrial Average fell 103.81 points, or 0.4 per cent, to 25,850.63, the S&P 500 lost 9.82 points, or 0.35 per cent, to 2,774.88 and the Nasdaq Composite dropped 29.36 points, or 0.39 per cent, to 7,459.71.

The S&P 500 snapped a three-day streak of gains.

A sharp slowdown in global growth, especially in China and Europe, along with fading fiscal stimulus and trade tensions have fuelled recent worries about the economy.

The Atlanta Federal Reserve's GDPNow forecast model now shows the US economy likely expanded at a 1.4 percent annualized rate in the fourth quarter.

The S&P healthcare index slid 0.9 per cent, weighed down by Johnson & Johnson's 0.7 per cent fall. The healthcare giant said it received subpoenas from US regulators related to litigation involving alleged asbestos contamination in its signature baby powder product line.

Adding to the day's weakness, the S&P 500 energy index fell 1.6 percent.

Also, Domino's Pizza shares tumbled 9.1 per cent after it missed analysts' estimates for quarterly same-store sales.

Nike shares were down 1 per cent after the company's sneaker worn by emerging basketball star Zion Williamson split in half during a game.

Australian Market

Local Markets Are Expected to Open Lower

Ahead of the local open SPI futures were 8 point lower at 6,093.

Thursday 21 February - close [Morningstar with AAP]: Australian shares have rebounded from a choppy morning to close higher on the backs of the big banks and discretionary consumer stocks.

The benchmark S&P/ASX200 index finished up 42.7 points, or 0.7 per cent, at 6,139.2 points at 1615 AEDT on Thursday, while the broader All Ordinaries was up 38.8 points, or 0.63 per cent, at 6,214.6.

"It's been a bit of a softer start, but really a pick up in the afternoon, led by the banks," said CommSec market analyst James Tao.

"Generally, today's market is really doing quite well. It's really been lifting even though there's been plenty of reasons not to."

The big four banks were all up, led by Commonwealth at 2.01 per cent. ANZ was up 1.83 per cent, Westpac up 1.32 per cent, and NAB up 0.69 per cent.

Strong earnings results from Wesfarmers, Star Entertainment Group and Webjet also pushed the consumer discretionary sector up 3.91 per cent.

Wesfarmers shot up 6.88 per cent after it said it would give $1 billion of the $3 billion it raised from its Coles demerger back to sharesholders in a special dividend.

Star closed up 5.68 per cent after the casino operator raised its interim dividend from 7.5 to 10.5 cents and said tis revenue was up 0.9 per cent, to $1.11 billion.

And Webjet shares soared 30.61 per cent after the online travel company reported first-half profit rose by more than a third.

Competitor Flight Centre was up 2.88 per cent after announcing a special dividend despite first-half profit falling 17 per cent.

Mineral Resources was down 5.18 per cent after it reported its normalised profits had dropped 63 per cent, to $34 million. It cut its interim dividend from 25 cents to 13 cents.

Origin Energy was up 0.92 per cent after reporting a 52.6 per cent rise in its first-half underlying profit while Santos rose 0.43 per cent after the gas producer reported its full-year underlying profit had more than doubled.

Qantas rose 1.94 per cent after first-half profit fell 16.3 per cent to $498 million on higher fuel costs.

Nine Entertainment was up 7.17 per cent after reporting a $140.2 million first-half profit and saying it copped $43 million in costs related to its merger with Fairfax.

Mortgage Choice was up 8.51 per cent despite slashing its interim dividend and reporting a 44 per cent fall in first-half profit.

On the currency market, the Aussie had a whipsaw day, jumping almost half a cent to 72.07 US cents on strong monthly labour report before falling back to 71.55 US cents after Westpac predicted interest rates would be cut in both August and November.

Then it fell more after customs at China's northern Dalian port banned imports of Australian coal.

Late on Thursday afternoon the Aussie was down more than a full percentage point on the day, buying 70.90 US cents, from 71.64 US cents on Wednesday.


The benchmark S&P/ASX200 index was up 42.7 points, or 0.7 per cent, at 6,139.2 points at 1630 AEDT on Thursday.

The All Ordinaries was up 38.8 points, or 0.63 per cent, at 6,214.6.

The NZX 50 added 51.37 points (0.56%) closed at 9,300.81

Annual General Meetings today (ASX 300)

  • No Annual General Meetings today

Companies trading ex-dividend today (ASX 300)

  • Ansell Limited
  • HT&E Limited
  • Ingenia Communities Group
  • Link Administration Holdings Limited
  • Super Retail Group Limited
  • Woodside Petroleum Limited

Companies trading ex-dividend next business day (ASX 300)

  • Aurizon Holdings Limited
  • Breville Group Limited
  • Netwealth Group Limited
  • Steadfast Group Limited
  • Whitehaven Coal Limited

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