The Morning Catch-Up: ASX futures edge higher as Wall Street holiday keeps global trade thin Proactive uses images sourced from Shutterstock
ASX 200 futures are pointing 18.4 points higher (+0.21%) at 9:30 am AEDT, setting up for another rise after the index edged 0.22% higher on Monday.
The local market rose to 8,937 yesterday, helped by a sharp tech bounce, while miners and banks weighed. With US markets closed overnight for Presidents’ Day and parts of Asia still on holiday, global trading was subdued — but a busy earnings slate at home should keep things lively today.
Monday’s session was a tale of two markets.
The S&P/ASX 200 added 19.5 points, but beneath the surface there was a clear rotation. Information technology surged 5.6% following the sell-off in AI-linked names last week, lifting the broader All Tech index more than 4%. The Small Ordinaries also outperformed, rising 1.19%, while the Emerging Companies index climbed 1.45%.
That strength helped counter fresh weakness in materials, which fell 1.04%. Iron ore remained below US$100 a tonne and heavyweight miners — including Rio Tinto and Fortescue — were notable laggards. Financials were flat to slightly softer as investors locked in gains after a strong start to the year.
Reporting season provided some of the day’s biggest moves, with earnings beats rewarded and disappointments punished — a pattern likely to continue through the week, with more than 80 companies due to report.
Overnight, the US was out for Presidents’ Day, keeping liquidity thin and leaving futures to do the talking.
S&P 500 futures were little changed, Nasdaq contracts edged lower by around 0.2%, and Russell futures were slightly softer.
Europe provided the main lead, with the pan-European Stoxx 600 rising 0.13%. Banks and insurers rebounded after recent AI-related jitters, offsetting weakness in parts of the tech and luxury sectors.
In Asia, Japan’s Nikkei slipped 0.2% after weaker-than-expected fourth-quarter GDP data showed growth barely ticking higher, while Hong Kong’s Hang Seng added 0.5% in shortened trade.
Bond markets remained focused on the softer US inflation print from late last week. Pricing in US rate markets continues to lean towards a mid-year Federal Reserve cut, with June seen as the most likely starting point.
With US markets shut and trading volumes light, moves in commodities were more about positioning than fresh catalysts.
Gold slipped 1.0% to around US$4,990 an ounce, dipping back below the US$5,000 mark as the US dollar firmed.
Copper eased 0.6% amid holiday-thinned trade and softer demand signals.
Iron ore hovered just under US$99 a tonne in Singapore futures.
Oil pushed higher, with WTI up 1.4% to around US$63.80 a barrel, supported by geopolitical tensions after Iran conducted naval exercises near the Strait of Hormuz.