Following positive leads, the Australian share market looks set to open higher. After strong jobs growth data was reported for June, U.S. stocks rallied on Friday, wiping away many of their losses since Brexit. As the market enters into second quarter earnings season, investors will be looking to see if company results reinforce this possible growing momentum in the U.S. economy.
US economic news
Data from the Labor Department showed the U.S. economy added 287,000 jobs in June, well above market expectations of 175,000. The unemployment rate rose slightly for the same period, adding 0.2 percentage points on May’s figures, to come in at 4.9 percent.
Markets
Wall Street closed up on Friday: The Dow Jones Industrial Average gained 1.4 per cent to close at 18,147, the S&P 500 added 1.5 per cent to close at 2,130 and the NASDAQ added 1.6 per cent to close at 4,957.
European markets closed up: London’s FTSE gained 0.9 per cent, Paris added 1.8 per cent and Frankfurt was up 2.2 per cent.
Asian markets closed down: Tokyo’s Nikkei lost 1.1 per cent, Hong Kong’s Hang Seng fell 0.7 per cent, and China’s Shanghai Composite dropped almost 1 per cent.
The Australian share market closed higher on Friday: The S&P/ASX 200 Index closed 3 points up to finish at 5,231. The index was down 16 points on the week. On the futures market the SPI is 61 points up.
Currencies
The Australian Dollar at 7:20AM was buying $US75.66 cents, 58.45 Pence Sterling, 76.14 Yen and 68.48 Euro cents.
Economic news
Due out today from the Australian Bureau of Statistics are two key measures of local housing market activity. The ABS will report on both investment lending and the number and value of outstanding home loans in Australia.
Company news
WiseTech Global Limited
(ASX:WTC) has announced it has increased its investment in sea-freight logistics software provider SoftShip AG from 19.9 percent to 43.0 percent. While WiseTech has not entered into any agreement to fully acquire the business, the investment provides them with control and financial consolidation.
Shares in WiseTech Global Limited were unchanged on Friday at $4.85.
Xped Limited
(ASX:XPE) has announced its subsidiary company JCT Healthcare Pty Ltd has commenced work on a smart technology project with Disability SA. The technology will enable people with a disability to control functions in their home from a tablet or phone. Xped has provided $350,000 in working capital to assist JCT in delivering the project.
Shares in Xped Limited were unchanged on Friday at $0.0760.
Commodities
Gold has lost $3.70 to $US1,358 an ounce for the August contract on Comex.
Silver has gained $0.26 to $20.10 for September.
Copper is steady at $2.12 a pound for September. Oil has gained $0.27 to $US45.41 a barrel for August light crude in New York.
