Latest news with #MantasVanagas
West Australian
23-05-2025
- Business
- West Australian
Australian shares on track to make the week a winner
The Australian share market is set to finish the week higher, after Wall Street settled on the back of better-than-expected US manufacturing data. By lunchtime on Friday, the S&P/ASX200 rose 17.6 points, or 0.21 per cent, to 8,366.2, as the broader All Ordinaries gained 19.9 points, or 0.23 per cent, to 8,591.3. The top 200 is about 2.1 per cent from its record-high close on February 14, while Wall Street's S&P500 index is almost five per cent short of its peak and down 1.8 per cent for the week. "The overnight moves in major markets were mixed, partly supported by a recovery in the US business sentiment as reported by the latest PMIs (purchasing manufacturing index figures)," Westpac senior economist Mantas Vanagas said. "After a notable sell off earlier this week, the US Treasuries rallied, with yields falling across the curve." Closer to home, NAB economists say Australia's economy is on track to stick its soft landing, despite emerging downside global economic risks, while downgrading their national GDP growth forecast for 2025. "We have lowered our expectation for GDP growth this year to 1.8 per cent year-on-year (from two per cent) but left our inflation and labour market tracks unchanged," economists Michelle Shi and Gareth Spence wrote. "The RBA will need to continue to lower rates in the near term to ensure that the labour market remains healthy." Six of 11 local sectors were trading higher by lunchtime, with financials, IT stocks and real estate helping lift the bourse. All big four banks were in the green after trending lower on Thursday, with NAB and ANZ in front with gains of more than 1.1 per cent. Energy stocks pushed 0.7 per cent higher with oil slipping since Thursday's close because of a stronger US dollar and expected output increases from OPEC+ countries. Brent crude futures were trading at $US63.69 a barrel, with their West Texas equivalent fetching $US61.34. Miners were heavy, with large cap players Fortescue and Rio Tinto down more than one per cent each and gold producers a mixed bag as appetite for the safe haven stalled as the greenback pushed higher on the back of easing US bond yields. Gold futures are trading at $US3,299 ($A5,130), about six per cent short of the precious metal's all-time high. Bitcoin, so-called digital gold, hit a fresh peak Friday morning of more than $US111,800 ($A173,860) as hype grows around the asset as a potential safe. IT stocks were leading the gains for the top-200, the sector lifting 0.9 per cent as Block, Zip Co, Megaport and NEXTDC etched gains of two per cent of more. The Australian dollar is buying 64.29 US cents, down from 64.38 US cents after easing bond yields pushed the greenback higher. The US dollar strength index briefly popped above 100 overnight but has since slipped to 99.67. The greenback's value against a basket of major currencies is down almost ten per cent since President Trump's inauguration in January.
Perth Now
23-05-2025
- Business
- Perth Now
Australian shares on track to make the week a winner
The Australian share market is set to finish the week higher, after Wall Street settled on the back of better-than-expected US manufacturing data. By lunchtime on Friday, the S&P/ASX200 rose 17.6 points, or 0.21 per cent, to 8,366.2, as the broader All Ordinaries gained 19.9 points, or 0.23 per cent, to 8,591.3. The top 200 is about 2.1 per cent from its record-high close on February 14, while Wall Street's S&P500 index is almost five per cent short of its peak and down 1.8 per cent for the week. "The overnight moves in major markets were mixed, partly supported by a recovery in the US business sentiment as reported by the latest PMIs (purchasing manufacturing index figures)," Westpac senior economist Mantas Vanagas said. "After a notable sell off earlier this week, the US Treasuries rallied, with yields falling across the curve." Closer to home, NAB economists say Australia's economy is on track to stick its soft landing, despite emerging downside global economic risks, while downgrading their national GDP growth forecast for 2025. "We have lowered our expectation for GDP growth this year to 1.8 per cent year-on-year (from two per cent) but left our inflation and labour market tracks unchanged," economists Michelle Shi and Gareth Spence wrote. "The RBA will need to continue to lower rates in the near term to ensure that the labour market remains healthy." Six of 11 local sectors were trading higher by lunchtime, with financials, IT stocks and real estate helping lift the bourse. All big four banks were in the green after trending lower on Thursday, with NAB and ANZ in front with gains of more than 1.1 per cent. Energy stocks pushed 0.7 per cent higher with oil slipping since Thursday's close because of a stronger US dollar and expected output increases from OPEC+ countries. Brent crude futures were trading at $US63.69 a barrel, with their West Texas equivalent fetching $US61.34. Miners were heavy, with large cap players Fortescue and Rio Tinto down more than one per cent each and gold producers a mixed bag as appetite for the safe haven stalled as the greenback pushed higher on the back of easing US bond yields. Gold futures are trading at $US3,299 ($A5,130), about six per cent short of the precious metal's all-time high. Bitcoin, so-called digital gold, hit a fresh peak Friday morning of more than $US111,800 ($A173,860) as hype grows around the asset as a potential safe. IT stocks were leading the gains for the top-200, the sector lifting 0.9 per cent as Block, Zip Co, Megaport and NEXTDC etched gains of two per cent of more. The Australian dollar is buying 64.29 US cents, down from 64.38 US cents after easing bond yields pushed the greenback higher. The US dollar strength index briefly popped above 100 overnight but has since slipped to 99.67. The greenback's value against a basket of major currencies is down almost ten per cent since President Trump's inauguration in January.
Perth Now
28-04-2025
- Business
- Perth Now
Australian shares start the week higher
The Australian share market has started the week on a positive note, rising higher on hopes of fresh stimulus from China and ongoing US tariff negotiations. The S&P/ASX200 jumped by more than one per cent in early trading but was up 62.1 points, or 0.78 per cent higher by midday, to 8030.3. The broader All Ordinaries was up 59.3 points, or 0.73 per cent, to 8234.4, following a positive Wall Street session on Friday. "Financial markets ended last week on a positive note, as reports suggested the Trump administration is preparing for intensive trade negotiations with major partners," Westpac senior economist Mantas Vanagas said. "China announced that it is preparing emergency plans for further economic stimulus focusing on easing monetary policy and providing financing to key growth areas." Ten of 11 local sectors were trading higher by lunchtime with IT stocks taking the lead, up 1.9 per cent in line with strength in US tech companies, which have posted better-than-expected quarterly earnings. Financials helped lift the bourse higher, up 1.1 per cent with help from a more than 2 per cent rally for ANZ, after Citi upgraded it from 'sell' to 'neutral'. The investment giant still has a sell rating on NAB, up 1.9 per cent, with Westpac (1.6 per cent) and CBA, which was 0.3 per cent higher after outperforming its peers last week. The materials sector was down 0.9 per cent by lunch time, with large cap iron ore miners BHP, Fortescue and Rio Tinto all trading lower, and gold miners likewise in the red as the uptick in broader equities led investors to take some profits on the safe haven. Gold is trading at around $US3273 ($A5127) an ounce, roughly a 6.5 per cent discount to last week's all-time peak of $US3500 an ounce. Energy stocks were up 1.4 per cent despite oil prices being roughly on par with Friday and some moderate weekend volatility in futures markets. Brent crude futures are trading at $US66.69 a barrel, inching slightly higher on Monday amid uncertainty over the US-China trade situation and a potential production hike from OPEC+. Oil and gas giants Woodside and Santos were both up more than 1.7 per cent, and Yancoal was up 1.5 per cent. It's a big week ahead for events and macro data, with the all-important Australian quarterly inflation figures due on Wednesday, and retail sales later in the week. With five sleeps until the Australian election a hung parliament, and the potential market uncertainty that could bring, is still on the cards after the latest Newspoll shows the government leading the coalition 52 per cent to 48 per cent on a two-party-preferred basis. In the US, investors will be looking to quarterly earnings for tech giants including Apple, Microsoft and Amazon, along with US payrolls data and the Federal Reserve's preferred inflation measure and personal consumption expenditures inflation, released on Thursday night. The Australian dollar is buying 62.83 US cents, up from 63.71 US cents on Thursday at 5pm.
Bloomberg
07-02-2025
- Business
- Bloomberg
US-Led Global Trade Tiff Risks Stoking Inflation for Australia
A US-led global trade war may intensify price pressures in Australia by weakening its currency, according to a Westpac Banking Corp. economist. US tariffs will make American goods more expensive, and so prices for the goods and services that Australia imports will go up too, Westpac's senior economist Mantas Vanagas said in a report Friday.
