Local market moved higher on better commodity prices and positive US reporting cycle. The market has been flip flopping all July…9 up days and 9 down days…July cycle so far has only delivered two consecutive positive days and we just had it. US Fed update early tomorrow morning…will set the trend…US Fed likely to deliver nothing much at all and markets will finish higher for July. Expecting a positive run for a week for a good finish for July and then expecting weakness in August ahead of local reporting cycle.  Aussie CPI data was weak and high AUDUSD means outlook is for inflation top remain weak…unlikely to back any RBA rate hike scare story in 2017….as we expected no rate hikes till 2018 at best!!!The best performing sectors were Energy, Mining and Staples while the worst performers were Gold, Retail and Utilities. On the sector/stock front….(1) OZL was the best of the copper stocks on the commodity cycle (2) SVW was the best flow through for the solid Caterpillar result (3) SIG bounced on the market update regarding Chemist warehouse (4) RFG bounced on JV to deliver middle east expansion (5) DMP pulled back on market worry into result season (6) IGO quarterly update was below expectations


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