Mining shares got a huge boost in Europe overnight with both BHP and Rio Tinto posting gains of over 10 per cent however it may not be enough to give local stocks a kick.
A wishy washy lead from Wall Street could see the ASX struggle to open in positive territory as oil prices turn negative again.
US economic news
The Labor Department says that initial jobless claims rose again by a higher than expected 8,000. The third rise in the past four weeks is suggesting the labor market may be starting to cool.
Markets
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 0.5 per cent to close at 16,417, the S&P 500 added 0.2 per cent to close at 1,915 and the NASDAQ advanced 0.1 per cent to close at 4,510.
European markets closed mixed: London’s FTSE rose 1.1 per cent, Paris was steady and Frankfurt slipped 0.4 per cent.
Asian markets closed mixed: Tokyo’s Nikkei slid 0.9 per cent, Hong Kong’s Hang Seng gained 1 per cent, and China’s Shanghai Composite added 1.5 per cent.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 104 points up to finish at 4,980. On the futures market the SPI is pointing 14 points lower.
Currencies
The Australian Dollar at 8:20AM was buying 71.98 US cents, 49.36 Pence Sterling, 84.05 Yen and 64.25 Euro cents.
Economic news
Due out today from the Reserve Bank is the statement on monetary policy whilst AIG will deliver the construction index for January and the ABS has all important retail sales for December.
Company news
CIMIC Group
(ASX:CIM) says its construction company CPB Contractors has been selected by the Queensland Dept of Transport and Main Roads to build Section C of the Bruce Highway upgrade. The deal is worth around $160 million in revenue. Shares in CIMIC Group last traded 3.97 per cent higher at $24.10.
DWS Limited
(ASX:DWS) says it has completed on the purchase of the final 25 per cent of Phoenix IT & T Consulting for $6.5 million. DWS acquired the original 75 per cent back in August last year. Shares in DWS is steady at $1.16.
Commodities
Gold has advanced $14.90 to US$1,156 an ounce for the April contract on Comex. Silver has added 14 cents to $14.88 for March. Copper has lifted 2 cents to $2.12 a pound. Oil has slipped 50 cents to $31.78 US a barrel for March light crude in New York.
