The Australian share market is set for a soft start to the session after Wall Street, the UK, Germany and Hong Kong's equity markets stayed shut yesterday. Across commodity markets the price of precious metals and oil have declined while iron ore is stronger and the Australia dollar remains weaker against the greenback.
Global markets
Wall Street was closed on Monday for the Memorial Day public holiday but on Friday the Dow Jones Industrial Average lost 0.3 per cent to close at 18,232, the S&P 500 lost 0.2 per cent to close at 2,126 and the NASDAQ ended 0.03 lower at 5,089.
Across European markets London's FTSE 100 and Germany's DAX were also closed but France's CAC 40 dropped 0.5 per cent.
In Asia Hong Kong’s Hang Seng was closed but Japan’s Nikkei added 0.7 per cent and China’s Shanghai Composite gained 3.4 per cent.
The Australian share market finished 1 per cent stronger yesterday on the back of M&A activity: The The S&P/ASX 200 index advanced 57 points to close at 5,722. On the futures market the SPI is 4 points lower.
Currencies
The Australian dollar at 7:30am was buying $US0.7824, 50.59 Pence Sterling, 95.09 Yen and 71.29 Euro cents.
Company news
Westpac Banking Corporation
(ASX:WBC) and the Melbourne-Institute have shown small business confidence has fallen to all time lows. The index dropped 12.7 per cent to an all time low of 108.2 points in the three months to the end of May but still remained in positive territory. Westpac says the index was taken before the Federal Budget announcement which should result in improved conditions and increased sentiment for Australian small businesses over the next quarter. Shares in Westpac Banking Corporation rose 1.23 per cent to close at $32.96 yesterday.
Mining group OZ Minerals Limited
(ASX:OZL) has affirmed a positive long term outlook for copper amid uncertain and volatile commodity market conditions. While the company says it will remain a copper-focussed company it plans to now also look at opportunities in other base metals or gold. OZ Minerals has advised these investments may involve smaller assets than those it may have previously considered, including distressed assets. Shares in OZ Minerals fell 1.81 per cent to close at $4.88 yesterday.
Commodities
Gold has declined $0.10 to $US1,204 an ounce for the June contract on Comex.
Silver has slipped $0.08 to $17.05 for July.
Copper has lost $0.04 to $2.81 a pound.
Oil has slipped $1.00 to $US59.72 a barrel for July light crude in New York.
