ASX Set For Soft Open With Wall St Closed

By Glenn Dyer | More Articles by Glenn Dyer

It’s not going to be an upbeat start to trading on the ASX today.

Without the usual lead from a holidaying Wall Street, the ASX 200 futures market was showing a 19 point dip for the start of trade on Friday just after 7 am.

With only European markets trading and an absence of major economic or market-moving news from the US, the poor news on the continuing growth in COVID-10 cases dominated market thinking.

It’s more and more obvious that coronavirus infection rates remain high in many major economies and it is likely economies in Europe and the uS will see weaknesses emerge heading into 2021.

Europe’s STOXX 600, which having its best month on record, up 14.5% in November, was up 0.1% on the day.

Germany’s DAX ended the day flat at 13,286 while France’s CAC 40 eased 0.1% to 5,566. Britain’s FTSE 100 slipped 0.6% to 6,362 on news of a plan for tiered restrictions for the country when the current lockdown eases next month.

US markets will be open for half the day on Friday.

US West Texas crude futures crude shed 2.7% to $US44.71 a barrel just after 7 am Sydney time and Brent crude fell 61 cents to $US47.92 a barrel. Brent did touch $US49 a barrel at one stage.

Comex gold edged higher to around $US1,808 an ounce in electronic trading (just after 7 am).

The Aussie dollar remained around 73.60 US cents.

In France and Germany, consumer confidence slumped last month under new lockdown restrictions and German Chancellor Angela Merkel told parliament that lockdown measures will be in place until at least the end of December and possibly into early in the New Year.

Iron ore prices were firmer and the price of 62% Fe fines delivered to northern China rose 98 cents to $US128.36.

Glenn Dyer

About Glenn Dyer

Glenn Dyer has been a finance journalist and TV producer for more than 40 years. He has worked at Maxwell Newton Publications, Queensland Newspapers, AAP, The Australian Financial Review, The Nine Network and Crikey.

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