The precipitous drop in oil prices continued with futures for June delivery falling to just $12 per barrel. The moves place mounting pressure on many global economies from Russia, to Saudi Arabia and even Australia, the worst.
After finishing up 1.9% for the week, taking the recovery to 20% off the market bottom in March, the S&P/ASX 200 (ASX: XJO) looks to open strongly again today.
In general we are sceptical about capital raisings in Australia, with the ‘private placement’ structure heavily tilted towards investment banks, broking houses (and their clients) and pension funds able to take on outsized allocations.
The S&P/ASX 200 (ASX: XJO) fell on Thursday, taking the US lead to fall 1%, driven primarily by the banking sectors as investors become wary of the need for greater loan provisions.
The S&P/ASX 200 (ASX: XJO) rose on Tuesday and is expected to rise again today following US markets.