FUTURES Uncertainty hits volume

Press, 27 July 1988, Page 39

FUTURES Uncertainty hits volume

Futures markets were generally quiet yesterday ahead of the Budget tomorrow. The uncertainty on the contents of the Budget kept volume down, said one futures dealer. The dollar was quiet yesterday, dropping overnight and trading in a tight range throughout the day. This contributed to the thin volume on futures, dealers said. Volume in the Government stock 11/93 contract was modest, with less than 1000 lots traded. This was a reflection of the Westpac plan Westpac Banking Corporation will ask its proprietors to approve a dividend bonus plan at a special meeting on August 19.

physical market, which traded quietly and nervously ahead of the Budget, dealers said. The September contract closed slightly off its lows at 8726. Chartists said there is a resistance point at 8725 followed by resistance at 8721. “If 8721 is broken there is downside potential for a few points. The next resistance level after that would be about 8710,” one chartist said. Bank bill futures traded 140 lots yesterday, with the August contract easing two points to 8538. "Chart wise we’re still waiting for a sustained breach of 8540 in bank bills,” one dealer said. “Until that occurs we see only more quiet

volumes,” he said. Barclays share index futures closed for the day at a high 85 point premium to the physical market. “Barclays futures are bullish. The feeling is that there is nothing drastically negative for the sharemarket in the Budget, hence the large premium,” one dealer said. JUS CONTRACTS Mth Open H/L Last Vol Aug 15013 085/013 049 16 Contracts traded: 16. Open positions at July 25: Aug 228, Sep 34, Dec 28, total 290 (up 10). GOVERNMENT STOCK Contracts traded: nil. Open positions at July 25: Sep 307, total 307 (down 4). GOVERNMENT STOCK 11/93 Mth Open H/L Last Vol Sep 8730 732/725 8726 861 Contracts traded: 861.

Open positions at July 25: Sep 4475, Dec 3, Mar 77, total-4555 (down 195). WOOL Mth Open H/L Last Vol Aug 627 627/627 627 4 Contracts traded: 4. Open positions at July 25: Aug 100, Oct 68, Dec 73, Jan I, Mar 3, total 245 (down 46). 90-DAY BANK BILLS Mth Open H/L Last Vol Aug 8530 530/523 523 60 Sep 8542 545/538 538 80 Contracts traded: 140. Open positions at July 25: Aug 531„ Sep 921, Oct 6, Dec 463, Mar 105, Jun 19, Sep 7, total 2052 (up 9). SYDNEY ALL-ORDS (half-points omitted) Prev. Mth close H/L Last Vol Sep 1637 638/614 637 1084 Contracts traded: 1084. Open positions at July 25: 4146 (down 56). BARCLAY’S SHARE INDEX Mth Open H/L Last Vol Sep 2080 115/070 2115 26 Contracts traded: 26. Open positions at July 25: Sep 182, total 182 (same).