December 2013 Australian employment fell by 22,600, well below
the expectations for a gain of 10,000. The poor month capped off
the worst year for Australian full-time employment since 1992. As a
result, the Aussie dollar fell below $0.88, its lowest level since
2010, and prompted renewed speculation that the Reserve Bank of
Australia will revert back to an easing bias rather than one of
US equities digested their gains from the past two days. The
(INDEXSP:.INX) closed down 0.13% for the session following gains of
1.6% over the prior two. The
Dow Jones Industrial Average
(INDEXDJX:.DJI) fared worse, losing 0.39%. Utility-sector stocks
were the top performers thanks to a sizable rally in US Treasuries.
Financials were the worst off following less-than-stellar earnings
) and a sell-the-news reaction to
Initial jobless claims fell to 326,000 from 328,000 in the week
prior. More importantly, continuing claims rose to 3.03 million
from 2.865 million in the week prior. The January NAHB survey of
builders and real estate agents fell to an index reading of 56 from
57 in the month prior. The index has remained relatively steady for
the past seven months.
Nu Skin Enterprises
) fell by 26.76% after it announced that Chinese regulators were
investigating the company for pyramid-scheme suspicions. The
company announced that it would likely have a negative effect on
its revenues, that it had started a full business review.
USANA Health Sciences
) both fell by more than 10% due to the investigation.
Natural gas inventories fell by 287 billion cubic feet, the most on
record. However, it was less than what the market had been
expecting. Most traders and analysts had expected a draw of 295 to
305 bcf. Natural gas futures had initially been up by 3.4% before
paring gains to 1.38% by the close of floor trading.
(INTC) reported revenues that were in line with expectations, but
earnings were slightly below consensus and the stock fell by nearly
3%. The stock had traded up into the report, so investors got ahead
of themselves with their expectations.
Tomorrow's Financial Outlook
The Commerce Department will release December 2013 housing starts
and building permits data in the morning before the market opens.
Economists estimate that starts will fall to an annualized rate of
992,000 from 1.091 million in the month prior. Permits are
estimated to rise to an annualized rate of 1.014 million from 1.007
million in November 2013. December 2013 industrial production is
estimated to rise 0.3% month-over-month after climbing 1.1% in the
month prior. Additionally, capacity utilization is expected to rise
to 79.1%, the highest since 2004.
The only two global economic data reports scheduled for tomorrow
are UK retail sales and eurozone construction output.
Notable earnings reports in the US tomorrow include
Bank of New York Mellon