Outlook: Aus shares set to open lower

Market Reports

by David Chau

The Australian share market looks set to open lower this morning, ahead of today’s Reserve Bank meeting, and continuing uncertainty about the Federal election results.

Markets

Wall Street was closed for trading yesterday for its Independence Day public holiday.

European markets finished lower: London’s FTSE was down 0.8 per cent, Paris lost 0.9 per cent and Frankfurt was down 0.7 per cent.

Asian markets closed higher: The Nikkei added 0.6 per cent, the Hang Seng gained 1.3 per cent, and the Shanghai Composite was up 1.9 per cent.

The Australian share market closed higher yesterday: The ASX 200 closed 35 points higher to finish at 5,282. On the futures market the SPI is 13 points down.

Currencies

The Australian Dollar at 7:30AM was buying $US75.35 cents, 56.72 Pence Sterling, 77.27 Yen and 67.57 Euro cents.

Economic news

The Reserve Bank will meet today to decide whether or not to cut interest rates.

AIG will release its June figures for the Performance of Services index.

ABS will release retail trade data and international trade data for May.

Company news

xPed Limited (ASX:XPE) has completed its acquisition of two medical companies. xPed confirmed it has signed the Sale and Purchase Agreement in relation to JCT Healthcare Pty Ltd and Jackson Care Technologies Pty Ltd.

Shares in xPed closed 18.06 per cent up yesterday at 8.5 cents.

Smartgroup Corporation Ltd (ASX:SIQ) has acquired the Autopia Group for $36 million. Autopia is a Sydney company which provides novated leases of motor vehicles to corporate clients. This deal is expected to contribute $1.2 million NPATA to Smartgroup in the second half of the 2016 calendar year.

Shares in Smartgroup closed 0.35 per cent up yesterday at $5.79.

Ex-dividends

Collins Foods will pay a dividend of 8 cents, fully franked.

Commodities

Gold has risen $14.50 to $US1,354 an ounce for the August contract on Comex.
Silver has gained $0.82 to $20.41 for September.
Copper is steady at $2.22 a pound for September.
Oil is down $0.23 to $48.76 USD per barrel for August light crude in New York.