Following negative leads, the Australian share market looks set to open lower. US stocks fell overnight, with uncertainty over the upcoming presidential election weighing on investors. Trump has gained ground against Clinton in the wake of the FBI’s renewed investigations, with polls showing Clinton now leading only by a slim majority. With markets believed to have priced in a Clinton win, it is unclear what effects on market volatility a Trump victory could have.
Meanwhile down under both the rate and the race that stops the nation will be getting the attention of investors and punters. Today the RBA will meet to discuss interest rates, while Australia’s premiere racing event, the Melbourne Cup will be taking centre stage in Victoria.
US economic newsSeptember saw an increase in the CPE Index, which lifted by 0.1% for the month. The figure is a key inflation measure and will be looked at closely no doubt by the Fed. Personal income also increased for the month, up 0.3 percent on August. The Chicago Business Barometer fell however in October to 50.6, led by a slowdown in production.
MarketsWall Street closed slightly lower yesterday: The Dow Jones Industrial Average lost 0.1 per cent to close at 18,142, the S&P 500 closed flat 2,126 and the NASDAQ closed flat at 5,189.
European markets closed lower: London’s FTSE fell 0.6 per cent, Paris lost 0.9 per cent and Frankfurt dropped 0.3 per cent.
Asian markets closed lower: Tokyo’s Nikkei fell 0.1 per cent, Hong Kong’s Hang Seng lost 0.1 per cent, and China’s Shanghai Composite slipped 0.1 per cent.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 34 points up to finish at 5,318. On the futures market the SPI is 12 points down.
CurrenciesThe Australian Dollar at 7:50AM was buying $US76.08 cents, 62.20 Pence Sterling, 79.75 Yen and 69.33 Euro cents.
Economic newsThe Reserve Bank will meet today to discuss the cash rate. It is widely expected rates will be left on hold at 1.50 percent. Also due out today is the Australian AIG Manufacturing PMI.
Company newsSouth32 Limited
(ASX:S32) has announced production at its Illawarra Metallurgical Coal operation will be affected as a result of the temporary suspension of its Appin Area 9 longwall and lower rates of production at the Appin Area 7 longwall. The company estimates around 500 kilo tonnes of saleable production will be lost as a result. Shares in South32 Limited closed 1.58 per cent up yesterday at $2.57.
Commodities Gold has risen $1.00 to $US1,278 an ounce for the December contract on Comex.
Silver has gained $0.10 to $17.90 for December.
Copper has added $0.01 to $2.21 a pound for December.
Oil has dropped $1.94 to $US46.76 a barrel for December light crude in New York.
