Local shares have a negative lead from US stocks which ended lower on Friday. They did however finish October with the biggest monthly gain in four years. The latest economic data is showing that the economy there is still dragging stuck in a pattern of gradual and uneven growth.
US economic news
The Commerce Department says consumer spending rose just 0.1 per cent in September as consumers spend less on petrol. It was the smallest gain in 8 months.
Wall Street closed lower on Friday: The Dow Jones Industrial Average lost 0.5 per cent to close at 17,664, the S&P 500 was also down 0.5 per cent to close at 2,079 and the NASDAQ lost 0.4 per cent to close at 5,054.
European markets closed mixed: London’s FTSE slipped 0.5 per cent, Paris added 0.2 per cent and Frankfurt advanced 0.5 per cent.
Asian markets closed mixed: Tokyo’s Nikkei added 0.8 per cent, Hong Kong’s Hang Seng was down 0.8 per cent, and China’s Shanghai Composite slipped 0.1 per cent.
The Australian share market closed lower on Friday: The S&P/ASX 200 Index closed 27 points down to finish at 5,239 to be 112 points down on the week. On the futures market the SPI is down 25 points.
The Australian Dollar at 7:20AM was buying 71.20 US cents, 46.07 Pence Sterling, 85.78 Yen and 64.52 Euro cents.
Due out today is the AIG Manufacturing Index and the TD-Melbourne Institute Inflation gauge.
Metals X Limited (ASX:MLX)
says it has completed on the sale of its Mount Gordon operations satisfying a condition of is take-over offer for Aditya Birla Minerals Limited (ASX:ABY)
. The company says it has now satisfied the Foreign Ownership conditions as well. Shares in Metals X last traded up 1.73 per cent at $1.375.
Fonterra Co-Operative Group Limited (ASX:FSF)
says it has sold its nine per cent share in Bega Cheese for $74 million. The deal has no impact on the contract supply for cheese of the licensing deal in the Bega brand. The funds will be used for future growth. Shares in Fonterra last traded up 2.2 per cent at $5.11.
One company will trade ex-dividend today: Brickworks Limited (ASX:BKW)
will pay 30 cents fully-franked.
Gold has slipped $5.60 to US$1,142 an ounce for the December contract on Comex. Silver is down 2 cents to $15.54 for December Copper has dipped 1 cent to $2.32 a pound. Oil has added $0.33 to US$46.39 a barrel for December light crude in New York.