Markets Live: Banks push ASX lower at the open

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11:18am

The Reserve Bank says the next move in interest rates is up. Yet investors are starting to embrace the idea that policy makers will be forced to cut.

That leaves the Australian dollar vulnerable, with predictions it could fall as low as 65 US cents.

In the bond market, the yield curve for overnight index swaps -- a gauge of expectations for short-term rates -- has inverted, showing that traders expect the RBA's cash rate to be slightly lower than the current 1.5 per cent in a year's time.

Similarly, the cash-rate futures market is now suggesting about 10 per cent chance of a cut in the second half of next year, and less than 5 per cent for a hike.

Read the full story here.

11:07am

This year has had it all for blood products giant CSL and its chief executive Paul Perreault: a record profit, double-digit sales growth in core therapies for immunodeficiency and haemophilia patients, successful new products and a maiden profit from CSL's big influenza vaccines bet.

Mr Perreault shared the five keys to CSL's continued outperformance with The Australian Financial Review before heading back to the US for Christmas with family and some skiing at the renowned Park City, Utah, resort.

First is a culture of operational excellence and commitment to the delivery of life-saving medicines to CSL's patients, a torch inherited from Mr Perreault's predecessor Brian McNamee - one of the 50 "leaders, builders, pioneers and stirrers" who most shaped business over the Financial Review's first half century as a daily publication.

Ben Potter has the full story here.

10:39am

The Australian Financial Review's business person of the year, Nicholas Moore, says it will be years before the market can make a realistic assessment of his performance.

"We'll see in years to come what changes I have made and how good I have been," he says.

"Obviously, as I sit here today it feels fine but it's a long-term business."

Mr Moore retired as chief executive of Macquarie Group on November 30 after 10 and a half years in the top job and 32 years in the banking, asset management and global securities business.

Tony Boyd has the full story here.

10:28am

Australian shares are trading lower at the open this morning, falling on some mild losses by the major banks.

The S&P/ASX 200 Index is down 15.6 points, or 0.3 per cent, to 5646.

Commonwealth Bank is trading 0.7 per cent lower, Westpac is also down 0.7 per cent, ANZ has fallen 0.8 per cent and NAB is down 0.8 per cent too.

CSR has fallen 5 per cent, Nine Entertainment is down 4 per cent and Adelaide Brighton has slipped 3.9 per cent.

BHP Billiton is leading the index, up 1.4 per cent, followed by AGL Energy up 2 per cent and South32 up 1.1 per cent.

New Hope Corp is up 1.7 per cent, Seven West Media is also up 1.7 per cent as is gold miner Regis Resources.

10:00am

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Australian shares are set to open lower after Wall Street sagged on a volatile trading day in the US, with investors shifting into defensive stocks such as real estate and utilities.

The SPI200 futures contract was down 14 points to 5634 at 7.20am on Friday. The Aussie has edged up a bit, buying 72.29 US cents.

US stocks gave up early gains as a rally on US-China trade talks faded, adding to the enduring market concerns over a potential US government shutdown and global growth.

Read the full 8@eight here.

9:39am

Here are the overnight market highlights:

SPI futures down 5 points to 5643 at 8.00am AEDT.

AUD up 0.1% to 72.25 US cents at 8.00am AEDT.

On Wall St at 4.00pm in New York: Dow +0.3% S&P 500 flat, Nasdaq -0.4%

In Europe: Stoxx 50 +0.1% FTSE flat CAC -0.3% DAX flat

Gold -0.2% to $US1243.02 an ounce at 1.50pm in New York

Brent crude +1.2% to $US60.88 a barrel at 1.50pm in New York

Iron ore +1.4% to $US67.65 a tonne

LME aluminium +0.4% to $US1932 a tonne

LME copper +0.2% to $US6155 a tonne

10-year yield: US 2.91% Australia 2.46% Germany 0.28%

9:11am

Records of meetings involving ANZ's then chief financial officer and now chief executive Shayne Elliott and ANZ's departed chief executive Mike Smith will form part of the corporate regulator's case against ANZ over a $2.5 billion equity capital raising in 2015.

The Australian Securities and Investments Commission took ANZ to court in September this year, alleging the bank breached its continous disclosure obligations because its ASX announcement left out the fact underwriters formed a significant part of its $2.5 billion capital raising in August 2015.

The corporate regulator has leapt to the defence of mum and dad investors and short sellers of ANZ shares, alleging they lost out because of this material omission.

Misa Han and Jonathan Shapiro have the full story here.

9:01am

Good morning and welcome to Markets Live for Friday.

Your editor today is William McInnes.

This blog is not intended as investment advice.

Fairfax Media with wires.

Markets Live: Banks push ASX lower at the open

Markets Live: Banks push ASX lower at the open

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