Morning Notes

26/05/2015 Argonaut Morning Note

The U.S market was shut on Monday for the Memorial Day holiday. Reassurance from Federal Reserve Chairwoman Janet Yellen that U.S. interest rates are on track to rise which weighed on the Australian dollar Monday and helped lift the local equities market. Mining stocks responded positively to a weaker currency and a jump in the price of iron ore, Australia's biggest mineral export, while bank shares recovered from further weakness on Friday. The S&P/ASX 200 closed up 1% at 5721.5, partially retracing a 1.2% fall over past week.

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25/05/2015 Argonaut Morning Note

Wall Street stocks have finished lower in light pre-holiday trade after Federal Reserve Chair Janet Yellen said the plan to raise interest rates this year was on track. The Dow Jones Industrial Average dropped 53.72 points (0.29 per cent) to 18,232.02 by close on Friday. The broad-based S&P 500 fell 4.76 points (0.22 per cent) to 2,126.06, while the tech-rich Nasdaq Composite Index slipped 1.43 points (0.03 per cent) to 5,089.36. Dr Yellen said delaying a move to raise interest rates "would risk overheating the economy." However, she also warned that the US economy continues to show weakness, with significant job market slack not reflected in the 5.4 per cent jobless rate.

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22/05/2015 Argonaut Morning Note

The S&P 500 has finished at a new record following strong earnings from Best Buy and news that CVS Health would acquire senior pharmacy services company Omnicare for $US12.7 billion. The S&P 500 closed at 2,130.8, up 5 points or 0.23%, above Monday's record. The tech-rich Nasdaq Composite Index rose 19 points, or 0.4%, at 5,090.8, while the Dow Jones Industrial Average was essentially flat, adding a minor 0.3 at 18,285.8.

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21/05/2015 Argonaut Morning Note

U.S. stocks fell slightly Wednesday. Fed officials are weighing the slowdown in economic growth at the start of the year as they debate when to raise short-term rates for the first time since June 2006. High-yielding stocks, such as those in the utilities and telecom sectors, were among the biggest gainers in the S&P 500 Wednesday. Stocks of financial companies like banks, which benefit from higher rates because they are able to charge more on loans, fell the most.

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20/05/2015 Argonaut Morning Note

U.S. stocks wavered between slight gains and losses Tuesday, a day after the Dow industrials and the S&P 500 climbed to record highs. Both the Dow and the S&P 500 hit new intraday highs amid what traders described as a slow day in the market. Contributing to the positive tone Tuesday, U.S. housing starts rose 20.2% in April from a month earlier to an annual rate of 1.135 million, the Commerce Department said Tuesday. That was the highest reading since November 2007. Economists surveyed by The Wall Street Journal expected April housing starts to reach a rate of 1.01 million.

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