The SPI is pointing to a soft start for the Australian share market despite strong offshore leads. European and US markets rallied as the Greek Prime Minister vowed to push ahead with a referendum on Sunday. On Wall Street traders also got a boost from upbeat manufacturing and construction spending data. The US private sector was also shown to have created more jobs than expected last month.
Global markets
Wall Street rose on Wednesday: The Dow Jones Industrial Average gained 0.8 per cent to close at 17,758, the S&P 500 gained 0.7 per cent to close at 2,077 and the Nasdaq gained 0.5 per cent to close at 5,013.
European markets jumped on Wednesday: London's FTSE 100 climbed 1.3 per cent, France's CAC 40 rallied 1.9 per cent and Germany's DAX recovered 2.2 per cent.
Asian markets ended mixed on Wednesday: Japan’s Nikkei added 0.5 per cent, Hong Kong’s Hang Seng was closed for a public holiday, and China’s Shanghai Composite sank 5.2 per cent.
The Australian share market rose 1 per cent into the new 2016 financial year: The S&P/ASX 200 index gained 57 points to close at 5,516. On the futures market the SPI is 3 points lower.
Currencies
The Australian dollar at 7:30am was buying $US0.7649, 49 Pence Sterling, 94.23 Yen and 69.23 Euro cents.
Economic news due out today
Australian Bureau of Statistics: International trade in goods and services data and overseas arrivals and departures figures for May
Company news
Shares in Crown Resorts Limited
(ASX:CWN) lifted yesterday on news Macau has eased its visa restrictions. The James Packer led casino operator Crown generates almost half of its earnings through its 34 per cent interest in its Macau casino company Melco Crown. Lifting the transit visa rules is expected to attract more Chinese travellers to the world’s biggest gambling hub as it allows them to stay for longer. Shares in Crown Resorts rose 5 per cent to close at $12.81 on Wednesday.
Cleaning and services company Spotless Group Holdings Limited
(ASX:SPO) has tied up the purchase of Utility Services Group. Utility Services Group is a provider of retail meter reading and installation services in the electricity, gas and water sectors. Spotless CEO and Managing Director Bruce Dixon says the acquisition will provide significant growth and cross-selling opportunities. Shares in Spotless Group rose 1.44 per cent to close at $2.12 on Wednesday.
Commodities
Gold has declined $4 to $US1,168 an ounce for the August contract on Comex.
Silver has eased $0.06 to $15.52 for September.
Copper has added $0.01 to $2.63 a pound.
Oil has dropped $2.60 to $US56.87 a barrel for August light crude in New York.
