Following mixed leads, the Australian share market looks set to open flat. Despite a renewed drop in oil prices, shares on Wall Street were able to hang on to early gains. Local traders will be hoping yesterday’s glimpses of green on screen are able to translate into a broader uptrend, pulling the Australian sharemarket out of its losing streak.
Markets
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 0.7 per cent to close at 16,516, the S&P 500 added 0.8 per cent to close at 1,939 and the NASDAQ gained 1.0 per cent to close at 4,686.
European markets closed up: London’s FTSE gained 1.0 per cent, Paris gained 1.5 per cent and Frankfurt gained 1.6 per cent.
Asian markets closed mixed: Tokyo’s Nikkei lost 2.7 per cent, Hong Kong’s Hang Seng lost 0.9 per cent, and China’s Shanghai Composite gained 0.2 per cent.
The Australian share market closed lower yesterday: The S&P/ASX 200 Index closed 7 points down to finish at 4,925. On the futures market the SPI is 29 points up.
Currencies
The Australian Dollar at 8:20AM was buying $US0.6989 cents, 48.45 Pence Sterling, 82.27 Yen and 64.39 Euro cents.
Economic news
Nervous investors await key Chinese trade figures for December. Scheduled for release at 1pm, China’s trade balance Is expected to have shrunk to $53 billion and will be closely scrutinized.
Company news
Auckland International Airport Limited
(ASX:AIA) has welcomed the announcement that Air Asia X will start a daily service between Kuala Lumpur and Auckland. The year-round service will commence in March of this year and will function by extending Air Asia X’s existing Gold Coast service. Shares in Auckland International Airport closed 0.57 per cent up yesterday at $5.30.
Metcash Limited
(ASX:MTS) has lost two of its substantial holders. Both Commonwealth Bank of Australia and JP Morgan Chase & Co and its affiliates have reduced their holdings in the grocery and auto parts distributor. Shares in Metcash closed 2.52 per cent lower yesterday at $1.55.
Commodities
Gold has lost $6.80 to $US1,089 an ounce for the February contract on Comex.
Silver has lost $0.07 to $13.80 for March. Copper has lost $0.01 to $1.96 a pound.
Oil has lost $0.73 to $US31.79 a barrel for February light crude in New York.
