ASX Futures Point Lower Ahead of CPI Data Release

The Australian Bureau of Statistics is set to release the Consumer Price Index (CPI) data for the September quarter. Analysts anticipate that the annual headline inflation rate will decline. However, core inflation measures are projected to remain above the Reserve Bank of Australia's target band of 2-3 percent.

In the United States, Wall Street closed with mixed results. The Dow Jones Industrial Average fell, while the S&P 500 and Nasdaq Composite managed to gain ground, primarily on the strength of technology stocks.

As a result of these developments, the ASX is expected to open slightly lower, reflecting the mood from the previous day’s trading on Wall Street. Investors are keeping a close watch on market movements and performance.

Disclaimer: This blog is not intended as investment advice.

Market Overview

The ASX 200 futures indicated a slight drop of 0.1%, resting at 8,268 points early this morning. The Australian dollar fell by 0.4% to 65.56 US cents during the same period.

The S&P 500 saw a slight rise of 0.2% to 5,832 points, while the Nasdaq experienced a notable increase, up by 0.8% to 18,713 points. On the international front, the FTSE 100 declined by 0.8% to 8,220 points, and the EuroStoxx fell 0.6% to 518 points.

Gold prices strengthened, rising by 1.2% to $US2,773 per ounce. Brent crude oil dipped slightly, trading at $US71.36 per barrel, while iron ore saw a rise of 0.7%, reaching $US104.15 per tonne. Bitcoin also showed bullish momentum, increasing by 3.6%, trading at $US72,143.

Recent Earnings and Market Sentiment

Investors are currently engaged in evaluating a flurry of corporate earnings reports. The activity on Wall Street showed a divergence across sectors, with technology stocks leading some indices higher.

Notably, the S&P 500 and Nasdaq saw gains whilst the Dow slipped 0.4%. Companies from the "Magnificent Seven," a group of major technology firms, are particularly under scrutiny as they report their quarterly results, which could impact market sentiment regarding the overall technology sector.

In other news, Myer’s CEO, Olivia Wirth, announced plans for the department store to acquire five brands from Premier Investments for over $900 million. This acquisition aims to consolidate Myer's market position across Australia and New Zealand, pending shareholder approval.

As market dynamics continue to evolve, investors are closely monitoring developments in both local and international markets, awaiting further insights from upcoming economic indicators and corporate earnings reports.

ASX, CPI, WallStreet