The Australian share market is poised for a soft start after Wall Street back-flipped into the red and closed lower after a mainly positive session. In the absence of any major local economic news today China’s flash HSBC manufacturing PMI will likely drive some direction this afternoon. Ahead of the read the price of iron ore has reached a fresh six-year low while the Australian dollar has risen to a one-month high.
Global markets
Wall Street slipped into the new week: The Dow Jones Industrial Average dipped 0.6 per cent to close at 18,116, the S&P 500 eased 0.2 per cent to close at 2,104 and the Nasdaq fell 0.3 per cent to close at 5,011.
European markets closed mixed on Monday: London's FTSE 100 added 0.2 per cent, France's CAC 40 lost 0.7 per cent and Germany's DAX dropped 1.2 per cent.
Asian markets moved higher on Monday: Japan’s Nikkei gained 1 per cent, Hong Kong’s Hang Seng rose 0.5 per cent, and China’s Shanghai Composite jumped almost 2 per cent.
The Australian share market fell 0.3 per cent on Monday, despite high hopes the benchmark will hit the key 6,000 level: The S&P/ASX 200 index slipped 19 points to close at 5,956 on Monday. On the futures market the SPI is 2 points lower.
Currencies
The Australian dollar at 7:30am was buying $US0.7886, 52.73 Pence Sterling, 94.39 Yen and 72 Euro cents.
Economic news due out today
ANZ Banking Group
(ASX:ANZ)-Roy Morgan: Weekly consumer confidence survey
Company news
TPG Telecom Limited
(ASX:TPM) will be in the spotlight today when it releases interim results and amid rising controversy surrounding a proposed takeover of iiNet Limited
(ASX:IIN). Over the full year the telecommunications company’s net profit grew 15 per cent to almost $172 million and TPG forecast earnings growth ahead. Earlier this month iiNet’s board backed a takeover offer from TPG Telecom which has since run into opposition from key iiNet shareholders including its founder Michael Malone. Shares in TPG Telecom rose 0.34 per cent to close at $8.83 on Monday.
Half year results will also be due from Kathmandu Holdings Limited (ASX:KMD, NZX:KMD) today. The outdoor clothing retailer last month reported subdued first half sales and declined to provide full year guidance. Trading during the key periods of Christmas and January was well below expectations due to lower demand and extended periods of warm and dry weather. Shares in Kathmandu Holdings fell 3.38 per cent to close at $1.57 on Monday.
Ex-dividends
Barrack St Investments Limited
(ASX:BST) paying a 0.5 cent fully franked dividend
M2 Group Limited
(ASX:MTU) paying a 15 cent fully franked dividend
Naos Emerging Opportunities Company Limited
(ASX:NCC) paying a 3.25 cent fully franked dividend
Panoramic Resources Limited
(ASX:PAN) paying a 1 cent fully franked dividend
Peet Limited
(ASX:PPC) paying a 1.5 cent fully franked dividend
Commodities
Gold has risen $3.10 to $US1,188 an ounce for the April contract on Comex.
Silver has added $0.01 to $16.89 for May.
Copper has firmed $0.03 to $2.79 a pound.
Oil has gained $0.88 to $US47.45 a barrel for April light crude in New York.
