US stocks rebounded as investors shook off a recent tech selloff and trade war anxieties. The S&P 500, which had led losses the day before, was up 1.15% following a strong production report form Tesla and news that the Trump administration isn’t actively seeking to target Amazon.
To the scoreboard:
Dow Jones Industrial Average: 24,033.36 +389.17 (+1.65%)
S&P 500: 2,614.45 +32.57 (+1.26%)
AUD/USD: 0.7681 +0.0020 (+0.26%)
ASX 200 SPI futures (June contracts): 5,740 (+19)
Here’s what you need to know:
- The Canadian dollar and Mexican peso were the big movers against the US dollar, following a report suggesting President Donald Trump is pushing for a preliminary NAFTA deal by mid-April. The Kiwi dollar also rose strongly while the AUD was little-changed after briefly pushing above US77 cents yesterday.
- Music-streaming giant Spotify went public. Shares opened for trading at $US165.90 apiece before settling at $US149.01. That was still above the $US132 reference price set by the company on Monday.
- Amazon shrugged off the latest series of critical tweets by Trump. The president has been taking aim at the e-commerce giant for supposedly taking advantage of the US Post Office and the federal tax system. Shares of the stock were up more than 1% on Tuesday, while Tesla surged by 6% after reporting a 40% increase in quarterly production.
- Benchmark US 10-year bond yields rose by 5 basis points to 2.78%, ahead of US employment data which will be released on Friday night. Aussie bond yields also rose across the curve with Australian 10-years up 4 basis points to 2.64%.
- Iron ore prices dropped nearly 3% to $US64.35 per tonne, after rallying the last two sessions.
- The day ahead: Australia has February retail sales, with analysts forecasting a 0.3% rise after January’s miss. David Scutt’s 10-second guide is here. There’s also February building approvals, then tonight key data will be led by inflation and unemployment figures for the Eurozone.
Have a great day.