ASX 200 futures pointed to a steady open, up 5 points (+0.05%) at 8:30am AEDT, after closing 91 points (+1.03%) higher at 8,990 yesterday—its strongest finish in nearly eight weeks after a bell-to-close rally.
Momentum was underpinned by two tailwinds: Fed Chair Powell’s remarks keeping an October cut in play and upbeat US bank earnings that fed into local Financials (+1.24%).
The big four advanced—Westpac +1.98% to $39.15, NAB +1.87% to $43.56, CBA +1.45% to $166.78 and ANZ +0.53% to $36.10. Materials (+1.46%) set a fresh sector record as the majors rose despite iron ore holding near US$105/t: Fortescue +2.11% to $19.84, Rio Tinto +1.77% to $129.69, BHP +1.75% to $43.54. Health Care (+2.07%) extended its bounce as bargain hunters stepped into a sector still down ~17.5% in recent months—Primary Health Care +6.08% to $0.78, Ansell +4.53% to $33.91, CSL +2.58% to $216.45. Laggards were Energy (-0.06%), Real Estate (+0.15%) and Consumer Staples (+0.17%).
At 11:30am AEDT, September labour force data are due. Consensus looks for +20,000 jobs, unemployment up to 4.3% and participation steady after August’s -5,400 print, 4.2% unemployment and a dip in participation to 66.8% (from 67.0%). A result near consensus likely keeps a November 25bp RBA cut in play, pending a subdued Q3 CPI in two weeks.
US markets gain
The S&P 500 and Nasdaq were higher as solid bank earnings offset a fresh burst of US-China tension headlines—including “We’re in a trade war with China now” (Trump) and Fed commentary flagging geopolitical strains as a potential tail risk.
Financials led the charge: Morgan Stanley +4.71% to US$162.65; Bank of America +4.37% to US$52.28. ASML’s beat lifted the Philadelphia Semiconductor Index by ~3%, carrying Intel +4.27% to US$37.15 and Broadcom +2.09% to US$351.33.
Focus now turns to TSMC’s results later today, with Charles Schwab and BNY Mellon also on deck.
Europe pushes higher
European equities pushed higher after a powerful luxury-led rally.
LVMH surged 12.2% on signs of improving China demand, sparking gains across the space—Hermes, Kering, Richemont and Moncler rose 4.7%–7.8%.
The FTSEurofirst 300 added 0.6%. In London, the FTSE 100 slipped 0.3%.
Currencies and commodities
The US dollar eased against majors. The euro firmed to ~US$1.1645, while the Aussie dipped to ~US$0.6510. USD/JPY hovered near ¥151.25.
Oil extended its pullback on trade worries and the IEA’s projected 2026 surplus: Brent fell 0.8% to US$61.91/bbl; WTI -0.7% to US$58.27/bbl.
Base metals were mixed (copper -0.2%, aluminium +0.3%). Gold futures climbed US$38.20 (+0.9%) to a record US$4,201.60/oz, with spot near US$4,207 as safe-haven demand met rising rate-cut bets. Iron ore edged up 0.3% to US$105.55/t