James Kong

U.S. stocks rose Wednesday as encouraging forecasts from Kraft Foods and McKesson boosted investors' expectations of how the corporate sector is faring in the weak economy.

U.S. stocks were mostly slightly lower Tuesday as investors worried about the economy despite better than expected signs from the retail sector that boosted Best Buy, J.C. Penney and Kroger. The Dow Jones Industrial Average declined 17.64 points, or 0.17%, to 10526.49, its first drop in five sessions.

The Australian Dollar has out-performed the other major currencies over the past week, and this continued last night, with the AUD setting a new 2 year high of 0.9450 following rumours that the US Federal Reserve will announce quantitative easing measures as early as November.

US retail sales rose by 0.4pct in August, above expectations for a 0.3pct gain. Excluding autos, sales were up 0.6pct with food stores and gasoline stations doing best. And US business inventories rose by 1.0pct in July, the largest increase in two years. Stocks are at 14-month highs.

Speculation the U.S. Federal Reserve will purchase up US$1 trillion in government bonds to aid the economic recovery has weakened the greenback across the board pushing the Australian Dollar to a two-year high near 0.9450 during brisk overnight trade.

Overnight saw the AUD hold to the USD0.9300 level, as the offshore markets continued tohold onto the strength seen in the local markets yesterday.

The European Commission has almost doubled its forecasts for growth of the euro zone economy. The European Commission now expects the euro zone to grow by 1.7 per cent in 2010, up from its previous forecast in May of 0.9 per cent.

Financials led U.S. stocks higher Monday as investors welcomed new global banking requirements that will be ushered in gradually enough to ensure banks won't need to scramble to raise capital.

The Australian Dollar has more momentum than the Canberra Raiders holding onto its recent gains above US93 cents during local trade on Monday. It opens at 0.9350 today.

The AUD continues to move higher on the back of better than expected data out of China on Friday and broke 0.9300 early this morning.

Chinese industrial production rose by 13.9pct in the year to August, above forecasts near 13pct. Consumer prices rose 3.5pct over the year, matching forecasts.

U.S. stocks rose Friday, putting the market into positive territory for the second straight week. Energy companies including Chevron, Halliburton and Schlumberger led the climb, boosted by increased expectations for global oil demand.v

The Australian Dollar has hung onto its recent gains and opens the new week at 0.9290. A recent string of positive local economic data has all but confirmed to the market that the Reserve Bank of Australia's next move in rates will be up.

The Australian share market was off to a strong start today on the back of positive lead from Wall Street overnight. Investors seem to welcome the easing of concerns that pulled the European markets down early on the week.

The US Federal Reserve Beige Book - a summary of conditions across Federal Reserve districts - reported ´´widespread signs´´ of a slowdown in economic activity.

The Aussie dollar held firm in Asia yesterday despite a negative lead from offshore markets during the previous sessions trading between 0.9100 and 0.9130 for the majority of the day.

The Australian Dollar has opened slightly lower this morning and is trading just above USD 0.9100.

The US conference board employment trends index fell from 97.4 to 96.7 in August. The index is still up 9.4pct on a year ago.

Financial stocks including American Express, J.P. Morgan Chase and Bank of America led U.S. stocks lower Tuesday as the market cooled off from last week's rally while worries over the health of European banks recirculated

The local market will likely trade in a tight range today as investors wait for the rate decision from RBA this afternoon as well as announcement from the remaining three independents to decide which party might lead the next Australian Government.

UK new car registrations were down 17.5pct in August from a year ago. New car registrations have now fallen for the second straight month following the end of an incentive to scrap old model vehicles.

The Aussie dollar traded sideways since the commencement of the week's trade bouncing between 0.9145 and 0.9175 for the majority of Monday's Asian session and last night's offshore trade.

The AUD has opened this morning relatively unchanged as the overnight session provided little direction with the US markets closed for Labour Day.

Suncorp-Metway is in the money after recording $780m in net profits for the 2009/2010 financial year, and already the windfall appears to be translating into more jobs.

The Australian share market has kicked off the trading week on a buoyant note, following a strong lead from Wall Street on Friday night.

The AUD has opened firmly in the mid 0.9100's this morning after benefitting from the US payroll data released on Friday that saw a fall of 54k in jobs as compared to the expected decline of 105k jobs.

US non-farm payrolls (employment) fell by 54,000 in August, far better than expectations for a 110,000 decline in jobs. Estimates of job losses in June and July were also revised down.

U.S. stocks climbed Friday, with J.P. Morgan Chase, Caterpillar and International Business Machines leading the charge as a better than expected jobs report for August helped the market snap a three week losing streak.

The resurgence in the Aussie dollar continued on Friday night with the unwinding of risk trades persisting following the release of the U.S employment report.