Following positive leads from Wall Street, the Australian share market looks set to open higher. US stocks gained more than a per cent, following news Berkshire Hathaway would acquire Precision Castparts for about $US32 billion. Wall Street was also buoyed by remarks from a Federal Reserve official suggesting a September rate hike may not be a certainty.
We also saw a rally in commodity prices overnight climbing from a 13 year low. Oil gained 1.9 per cent, copper up 3.1 per cent.
Global marketsWall Street closed up yesterday: The Dow Jones Industrial Average gained 1.4 per cent to close at 17,615, the S&P 500 added 1.3 per cent to close at 2,104 and the NASDAQ gained 1.2 per cent to close at 5,102.
European markets closed higher: London’s FTSE gained 0.3 per cent, Paris was up by 0.8 cent and Frankfurt gained just below a per cent.
Asian markets closed mixed: Tokyo’s Nikkei added 0.4 per cent, Hong Kong’s Hang Seng lost 0.1 per cent, and China’s Shanghai Composite gained 4.9 per cent.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 34 points higher to finish at 5,509. On the futures market the SPI is up by 36 points.
Currencies The Australian Dollar at 7:20AM was buying 74.12 US cents, 47.56 Pence Sterling, 92.35 Yen and 67.29 Euro cents.
Economic data The ANZ and Roy Morgan consumer confidence survey will be released, while National Australia Bank releases its monthly business survey. In June business confidence was at a 21 month high.
Company News Paladin Energy Limited
(ASX:PDN) is looking for a new CEO after the surprise departure of its founder John Borshoff. Mr Borshoff has agreed to step down after serving with the company for more than 12 years. Current mining executive Alexander Molyneux, has been appointed as interim CEO while Paladin searches for a replacement for Mr Borschoff. Shares in Paladin Energy are currently in a trading halt and last traded at 18 cents.
NewSat Limited
(ASX:NWT) will be wound up just four months after going into administration. Marcus Ayres and Stephen Parbery of PPB Advisory have been appointed as liquidators, after failing to find buyers for the embattled satellite company’s remaining assets. Shares in NewSat Limited last traded in March at 11.5 cents.
Ex-dividends Four companies are going ex-dividend today: AMCIL Limited
(ASX:AMH) will pay 4 cents fully-franked, Finbar Group Limited
(ASX:FRI) will pay 6 cents fully-franked, Suncorp Group Limited
(ASX:SUN) will pay 50 cents fully-franked and Unity Pacific Group
(ASX:UPG) will pay 42 cents unfranked.
Commodities Gold has gained $10 to $US1,104 an ounce for the December contract on Comex.
Silver has gained 37 cents to $15.20 for September.
Copper has gained 7 cents to $2.40 a pound.
Oil has gained $1.09 to $US44.96 a barrel for September light crude in New York.
