| Name | Daily Close | Daily Change | Daily Change (%) |
|---|---|---|---|
| Dow | 39112.16 | -299.05 | -0.76% |
| S&P 500 | 5469.30 | 21.43 | 0.39% |
| Nasdaq | 17717.65 | 220.84 | 1.26% |
| VIX | 12.84 | -0.49 | -3.68% |
| Gold | 2332.80 | 2.00 | 0.08% |
| Oil | 80.70 | -0.13 | -0.16% |
US MARKET
US stock indexes rebounded this Tuesday, led by a recovery in Nvidia’s shares, which had fallen nearly 17% over three days. Analysts attribute Nvidia’s sharp decline to profit-taking rather than fundamental issues, especially after the company briefly became the world’s largest last week. With an earnings report approaching, the sentiment around Nvidia remains bullish, marking the drop as a potential buying opportunity.
The market’s focus was also on Federal Reserve officials, particularly Fed Governor Michelle Bowman, who hinted at possible interest rate hikes if inflation risks persist. This has kept investors on edge as they await further Fed commentary and key economic data due later in the week.
In today’s early trading, the S&P 500 recorded a slight 0.35% increase, the Dow Jones Industrial Average dipped by 0.7%, and the Nasdaq Composite saw a notable 1.2% rise. The financial markets are also watching other economic indicators closely, including challenges in the oil supply and the ongoing housing affordability crisis.
In commodities, oil prices and gold saw small declines, while the bond market recorded a minor rise in the 10-year Treasury yield. Bitcoin remained steady, mirroring the cautious optimism pervading the financial markets.
LOCAL MARKET
Australian shares are expected to open lower today, influenced by overnight losses in European markets and on the Dow Jones in New York. ASX futures were down by 29 points or 0.4% to 7801 as of early this morning.
Investors are also bracing for the latest inflation figures, set to be released at 11:30 AM. Analysts predict that the monthly Consumer Price Index (CPI) will show inflation rising to 3.8% on an annual basis, up from 3.6% in April. This anticipation keeps market participants on alert, especially as ANZ market pricing indicates that bond traders expect the first rate cut by the Reserve Bank of Australia not until July 2025, with a modest 16% chance of a rate hike by September 2024.
In corporate news, Seven West has made headlines by dismissing three of its top executives in a significant shake-up, reflecting ongoing structural challenges in the free-to-air television industry. Meanwhile, luxury retailer Cettire faced a decline in stock value following a profit warning, as market analysts question whether broader industry issues are the sole cause of its financial troubles.
Today’s market movements and upcoming economic data release are likely to play a pivotal role in shaping investor sentiment as they navigate through global economic cues and domestic financial indicators.