The local share market may open in positive territory this morning following a strong lead form Wall St overnight after better than expected retail sales results lifted optimism over the health of the U.S. economy. Miners like BHP and Rio Tinto may get a boost from a rise in the price of copper.
The local share market closed lower on Thursday. The S&P/ASX 200 Index is down 9 points to 4,430 and on the futures market the SPI200’s up 28 points.
Checking currencies at 8:40am the Aussie Dollar is buying 83.98 US cents, 77.77 Yen, 58.9 Euro cents and 51.43 Pence Stirling.
In economic news: The Housing Industry Association’s outlook for the June quarter is to be released today.
In company about this morning: Shares in gaming machine provider Tabcorp Holdings Ltd (ASX:TAH) rose 2.22 per cent to $6.91 yesterday. The company reported 12 per cent revenue growth from gaming machines at Sydney’s Star City Casino for July and August. Tabcorp also revealed that a potential expansion of Conrad Jupiters Casino on the Gold Coast is being considered from 2012. The company is currently in the process of revamping Sydney’s Star City Casino with the Australian Financial Review reporting that $232 million of the projected $575 million in capital expenditure to be spend on the revamp, is scheduled for this financial year. Star City makes up approximately 18 per cent of the company’s total profits. Tabcorp pulled itself out of the red to post a profit of $521.7 million in 2009.
Shares in copper explorer CuDeco Ltd (ASX:CDU) gained 12.94 per cent to $5.41 yesterday. The company says drilling results form two drill holes have revealed copper below 600 metres in depth at its Rocklands project in Queensland. According to The Australian Financial Review chairman Wayne McCrae says the results means the company can now consider a planned 450 metre-deep open pit going even deeper, or even a potential underground operation at Rocklands. The company says that unlocking the key to the source of mineralisation at Rocklands remains a challenge, however it feels it will eventually discover the source and feels it may have moved closer to it with the recent deep intersection. CuDeco posted a profit in 2008 after losses the four years previous.
Checking ex-dividends, and among those going today we have AGL Energy with a 28 cent fully franked dividend, Blackmores with a 57 cent fully franked dividend, Oaks Hotels and Resorts with a 3 cent fully franked dividend, Phileo Australia with a 5 cent fully franked dividend, Schaffer Corporation with a 20 cent fully franked dividend and XRF Scientific with a 0.75 cent fully franked dividend.
To the international scoreboard: U.S. stocks closed higher on Thursday. The Dow Jones industrial average rose 64 points. The S&P500 Index added 8 points and the NASDAQ gained 16 points.
European markets were weaker: London’s FTSE fell 21 points, Paris fell 20 points and Frankfurt declined 18 points.
Asian markets were mixed: Hong Kong’s Hang Seng added 240 points. Tokyo’s Nikkei lost 66 points and China’s SSE Composite was closed.
Looking at Metals: Gold jumped $19.20 to just under a $1000 U.S. dollars at US$997.70 an ounce for the December contract on Comex. Silver is up 93 cents to US$16.29 and copper is up 4 cents to US$2.87.
And finally, oil is down 9 cents at US$67.96 a barrel for October light crude in New York.
