The ASX has a negative lead from US stocks which gave up early gains to end lower on Monday. Stocks came out of the gate with a strong start following gains in European stocks and encouraging inflation data from China.
However earnings season in the US kicks off with major banks reporting this week and analysts are projecting lacklustre earnings as the stronger dollar takes its toll on corporate profits.
Markets
Wall Street closed lower yesterday: The Dow Jones Industrial Average lost 0.1 per cent to close at 17,556, the S&P 500 slipped 0.3 per cent to close at 2,042 and the NASDAQ lost 0.4 per cent to close at 4,833.
European markets closed mixed: London’s FTSE shed 0.1 per cent, Paris added 0.2 per cent and Frankfurt advanced 0.6 per cent.
Asian markets closed mixed: Tokyo’s Nikkei shed 0.4 per cent, Hong Kong’s Hang Seng rose 0.4 per cent, and China’s Shanghai Composite added 1.6 per cent.
The Australian share market closed lower: The S&P/ASX 200 Index closed 6 points down to finish at 4,932. On the futures market the SPI is down 2 points.
Currencies
The Australian Dollar at 7:10AM was buying 75.95 US cents, 53.36 Pence Sterling, 81.98 Yen and 66.59 Euro cents.
Economic news
Due out today from the Australian Bureau of Statistics is business confidence for March.
Company news
Intecq Limited
(ASX:ITQ) says it has won a tender to supply gaming management and player loyalty systems to Tassie’s Wrest Point Casino and Country Club Tasmania. The $3.5 million contract is the largest ever single contract for the company and could run as long as ten years. Shares in Intecq jumped 7.38 per cent to $4.80 on the news.
Kimberley Diamonds Limited
(ASX:KDL) says it has begun open pit mining operations at its Lerala Diamond Mine in Botswana. First recovery of stones is expected this month with first sales in June 2016. The project of reopening the mine is on time and on budget. Shares in Kimberly Diamonds ended 6.38 per cent higher at $0.10.
Ex-dividends
One company is going going ex-dividend today: F.F.I. Holdings will pay 8 cents fully-franked.
Commodities
Gold has advanced $15.80 to $US1,260 an ounce for the June contract on Comex. Silver has added 57 cents to $15.95 for May. Copper is steady at $2.08 a pound. Oil has risen 70 cents to US$41.69 a barrel for May light crude in New York.
