Market News & Analysis
Miners catch China cold
Fiona Cincotta November 11, 2019 9:13 PM
Any sneeze in China and mining stocks catch a cold. The escalation of protests in Hong Kong and President Donald Trump's rebuffal of comments that the US would remove some of the tariffs on Chinese imports have boosted fears that the fallout of the tensions would impact Chinese economic growth and, by extension, metal demand. Anglo American, Rio Tinto, Glencrore and BHP Group are all flashing red this morning, trading between 1.87% and 2.44% lower.
Sterling shrugs off GDP decline
The pound is holding its ground for the moment in the face of worsening UK economic data showing that the economy rose at the slowest rate since 2010. The numbers were not unexpected – the majority of Britain’s economic indicators have been pointing in that direction for months – but what did fuel concerns is that the monthly growth rate was even below some conservative growth estimates. The election campaign is heating up with promises of some serious spending from both major parties but the markets seem to be handling them with a healthy pinch of salt. Sterling is trading at $1.2803 and at EUR1.16.
Brent crude nudges lower as prospect of OPEC slips away
The next OPEC meeting in Vienna is now just over two weeks away and the pre-OPEC production chatter is intensifying, showing that producers are less than keen to opt for further production cuts despite the recent weakness in oil prices. Oman’s energy minister clarified the situation Monday saying that while the cartel is likely to continue with the existing cuts it was unlikely to curb production any further. Given the already fragile situation surrounding the US-China trade talks and prospects of lower demand from China, Brent crude prices dropped 1.17% this morning.
From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.
As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.