US stocks rose on Monday following a two day rout which saw equities hit their lowest levels since October.
Local stocks look set to open slightly higher even though oil prices continue to sink and investors are seeing little in the way of inspiration for the widely expected Santa rally.
Markets
Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 0.7 per cent to close at 17,252 the S&P 500 added 0.8 per cent to close at 2,012 and the NASDAQ advanced 0.9 per cent to close at 4,969.
European markets closed lower: London’s FTSE slipped 0.3 per cent, Paris lost 1.3 per cent and Frankfurt slipped 1 per cent.
Asian markets closed mixed: Tokyo’s Nikkei shed 0.4 per cent, Hong Kong’s Hang Seng added 0.2 per cent, and China’s Shanghai Composite advanced 1.8 per cent.
The Australian share market closed slightly higher yesterday: The S&P/ASX 200 Index closed 2 points up to finish at 5,109. On the futures market the SPI is pointing 20 points higher.
Currencies
The Australian Dollar at 8:20AM was buying 71.89 US cents, 48.32 Pence Sterling, 87.12 Yen and 65.87 Euro cents.
Company news
Coal of Africa Limited
(ASX:CZA) says it has cleared a final hurdle in its merger offer for Universal Coal
(ASX:UNV) after the South African Competition Commission gave its approval on the deal. An offer document to acquire Universal shares at $0.25 each values Universal at around $127 million. Shares in Coal of Africa last traded unchanged at 4.6 cents.
GPT Group
(ASX:GPT) says it will sell the Dandenong Plaza in Dandenong Victoria for $197 million. The sale to Armada Funds Management is subject to FIRB approval with the funds earmarked for a reduction of GPT’s level of interest hedging. Shares in GPT Group last traded 0.63 per cent lower at $4.76.
Commodities
Gold rose $12.60 to US$1,078 an ounce for the February contract on Comex. Silver has advanced 16 cents to $14.26 for March. Copper is up 2 cents to $2.14 a pound. Oil has slipped 23 cents to US$35.83 a barrel for January light crude in New York.
