With US Stocks weaker overnight and with the Greek stock market heading sharply lower, the local market is set for a steady start.
Weakness in the US was led by falls in the oil price but closer to home the iron ore price has rallied overnight despite soft production figures out of China.
This afternoon attention will turn to the Reserve Bank for its monetary policy statement but the market is forecasting little chance of a change to the cash rate this month.
Global figures
Wall Street closed lower yesterday: The Dow Jones Industrial Average lost 0.5 per cent to close at 17,598, the S&P 500 gave up 0.3 per cent to close at 2,098 and the NASDAQ is down 0.25 per cent to close at 5,115.
European markets closed mixed: London’s FTSE is down 0.1 per cent, Paris gained 0.75 per cent and Frankfurt is up 1.2 per cent.
Asian markets closed lower: Tokyo’s Nikkei lost 0.2 per cent, Hong Kong’s Hang Seng is down 0.9 per cent, and China’s Shanghai Composite dropped 1.1 per cent.
The Australian share market closed lower yesterday: The S&P/ASX 200 Index closed 20 points down to finish at 5,679. On the futures market the SPI is sitting flat this morning.
Turning to currencies and the Australian Dollar at 7:30AM was buying $US0.7282 cents, 46.73 Pence Sterling, 90.31 Yen and 66.49 Euro cents.
Company news
Carnegie Wave Energy Limited
(ASX:CWE) has been awarded a $4.3 million grant to develop a WavePOD power conversion system for Wave Energy Scotland. The wave energy company says the project will take 18 months to design, deliver and test prototypes, with the project fully funded by Wave Energy Scotland. The Scottish Minister for Energy, Fergus Ewing says this is a hugely significant day for WES and that the Scottish government is committed to supporting this important sector. Shares in Carnegie Wave closed flat at $0.051
Oil Search Limited
(ASX:OSH) has transferred operations of the PRL 15 Joint Venture and Papua LNG to French oil and gas company Total. The company says an operator transition agreement has been reached between Total and the former operator InterOil, with InterOil to drill the Antelope 4 sidetrack well on behalf of Total. Shares in Oil Search closed 2.81 per cent lower yesterday at $7.26.
Ex-dividends 1 company is going ex-dividend today: Djerriwarrh
(ASX:DJW) is paying 16c fully franked.
Commodities
Gold has lost $9.50 to $US1,086 an ounce for the December contract on Comex.
Silver is down $0.28 to $14.46 for September.
Copper has lost $0.02 to $2.34 a pound.
Oil has sunk $1.95 to $US45.17 a barrel for September light crude in New York.
