Following positive leads, the Australian share market looks set to open higher. US Markets rallied again on Thursday, posting their third straight day of gains. Brexit fears appear to be receding, with investors now turning their attention once more back to the Fed. Investors will be speculating whether the volatility of the past week and the shifting global outlook have dampened the central banks appetite for a rate hike.
US economic news
Initial jobless claims rose last week to 268,000, not far of market estimates of 267,000. It is the 69th consecutive week claims have been below 300,000, a level associated with a strong jobs market.
Markets
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 1.3 per cent to close at 17,930, the S&P 500 added 1.4 per cent to close at 2,099 and the NASDAQ was up 1.3 per cent to close at 4,843.
European markets closed up: London’s FTSE added 2.3 per cent, Paris added 1.0 per cent and Frankfurt gained 0.7 per cent.
Asian markets closed mixed: Tokyo’s Nikkei added 0.1 per cent, Hong Kong’s Hang Seng lifted 1.8 per cent, and China’s Shanghai Composite fell 0.1 per cent.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 91 points up to finish at 5,233. On the futures market the SPI is 49 points up.
Currencies
The Australian Dollar at 7:20AM was buying $US74.44 cents, 55.95 Pence Sterling, 76.85 Yen and 67.07 Euro cents.
Economic news
Due out today from the Australian Industry Group is its Manufacturing PMI Index. Tomorrow Australian voters will head to the polls for the 2016 Federal Election.
Company news
CIMIC Group Limited
(ASX:CIM) company Leighton Contractors has been selected by the Government of Hong Kong to construct a Columbarium and Garden of Rememberance. The project is worth $320 million and will construction will commence in July 2016 and complete in March 2019.
Shares in CIMIC closed 2.35 per cent up yesterday at $35.75.
IMF Bentham Limited
(ASX:IMF) has announced its interest in its European joint venture will be purchased by Innsworth Investments for €4.01 million. As a result of the sale, IMF will no longer have an interest in either the Tesco or Volkswagen cases and will be prevented from funding matters in certain European jurisdictions for 12 months.
Shares in IMF Bentham Limited closed 0.99 per cent up yesterday at $1.52.
Commodities
Gold has dropped $2.20 to $US1,325 an ounce for the August contract on Comex. Silver is up $0.39 to $18.80 for July. Copper has gained $0.01 to $2.20 a pound for July. Oil has dropped $1.48 to $US48.40 a barrel for August light crude in New York.
