Daily FNArena News - FYI

While a lack of affordability will delay any recovery in housing and will flow through into weaker domestic demand, Westpac sees above consensus growth in the US in 2008 on the back of stronger exports.

The US dollar continued its fight back rally against major currencies last night, sending oil, gold and metals south. The Dow closed slightly lower.

Emerging debt problems for banks in Kazakhstan have the world’s attention with economists expecting more problems among Emerging Market countries to surface.

Investor attention is bound to turn to US corporate earnings this week. But there’s plenty of Fed stuff to digest as well with the release of the September minutes and speeches in Dallas.

Stronger than expected labour market data in the US have opened the door to further share market gains. On Tuesday Alcoa kicks off the Q2 results season. New record highs, here we come?

The market has rallied strongly since the July/August correction but AMP’s Shane Oliver and market strategists at UBS don’t expect a crash similar to 20 years ago.

Nobody was willing to stick out his neck ahead of Friday’s all-important nonfarm payrolls data in the US. Base metals took a breather, but gold managed to advance.

A warning by Morgan Stanley saw shares of technology companies take a dive, adding to the overall shaky sentiment ahead of Friday’s jobs report.

The British banking system is still in turmoil as cheaper and less overt ECB funds are being sought.

Stock markets finished mixed as housing woes continued and gold took a tumble.