The Australian share market looks like it will open higher again. All the major stock markets in Asia, Europe and the US rebounded yesterday. In particular, the S&P 500 had its strongest 2-day performance in 4 months, and the FTSE 100 has climbed to its highest level since April.
It seems fears about the implications of Brexit are continuing to subside as investors are counting on central banks to save the day with monetary stimulus measures. Also, oil prices went up overnight, which boosted Energy shares in the US and Europe.
US economic newsCrude oil inventories fell by 4.1 million barrels since last week. This was a larger than expected drawdown, and total inventory is now 526.6 million barrels.
MarketsWall Street closed higher yesterday: The Dow Jones Industrial Average gained 1.6 per cent to close at 17,695, the S&P 500 gained 1.7 per cent to close at 2,071 and the NASDAQ gained 1.9 per cent to close at 4,779.
European markets closed higher: London’s FTSE gained 3.6 per cent, Paris gained 2.6 per cent and Frankfurt gained 1.8 per cent.
Asian markets closed higher: the Nikkei gained 1.6 per cent, the Hang Seng was up 1.3 per cent, and the Shanghai Composite gained 0.7 per cent.
The Australian share market closed higher: The ASX 200 closed 39 points up to finish at 5,142. On the futures market the SPI is up 73 points.
CurrenciesThe Australian Dollar at 7:30AM was buying $US74.48 cents, 55.45 Pence Sterling, 76.7 Yen and 67 Euro cents.
To company newsShine Corporate Limited
(ASX:SHJ) says that its class action against Johnson & Johnson Medical Pty Ltd and and DePuy International Ltd has concluded, now that the settlement deed has been signed. Depuy allegedly implanted defective hip devices in over 5,000 Australian patients, causing personal injuries, and the settlement amount is $250 million.
Shares in Shine closed 4.55% lower at $1.05.
Cloud software company, Urbanise.com Limited
(ASX:UBN), has secured a $6.8 million contract with a South African insurance company. Urbanise says, over the next 5 years, it will team up with King Price Insurance to develop tech solutions with the aim of providing “super cheap insurance cover”.
Shares in Urbanise closed 1.19% higher at 42.5 cents.
Ex-dividendsTwo companies are going ex-dividend today. Graincorp will pay a dividend of 7.5 cents per share, and Thorn Group will pay a dividend of 6 cents per share. Both dividends are fully franked.
CommoditiesGold has gained $9 to $US1,327 an ounce for the August contract on Comex.
Silver has gained $0.52 to $18.41 for July.
Copper is up 1 cent to $2.19 a pound for July.
Oil is up $2.03 to $49.88 US a barrel for July light crude in New York.
