The Australian share market looks set to open firmer but light volume is expected. The market will close at 2.10pm today as the holiday season officially starts.
On Wall Street, markets closed mildly higher as strength in technology shares and commodities offset concerns about the housing market. Stocks declined early in the session as the government said sales of new homes unexpectedly fell in November and personal incomes and spending both rose at a slower-than-expected pace last month but shares managed to recover after another report showed consumer sentiment rose to a 3-month high. Oil prices gained overnight on lower crude oil inventories and metal prices also stregthened.
In local news this morning, the four major banks have collectively settled a dispute with NZ tax authorities and ASIC’s court case against Fortescue Metals has been dismissed by the Federal Court.
The Dow Jones Industrial Average gained 2 points to 10,466. The S&P500 Index is up 3 to 1,121 and the NASDAQ closed 17 points stronger at 2,270.
European markets were higher. London’s FTSE gained 44 points, Paris added 12 points and Frankfurt rose 12.
Asian markets were stronger: Hong Kong’s Hang Seng gained 237 points. Tokyo’s Nikkei was closed and China’s Shanghai Composite rose 23 points.
Back to the local market now and Australian stocks ended ahead on Wednesday. The S&P/ASX 200 Index finished 35 points higher at 4,739. Looking at the futures market the SPI200’s up 12.
Looking at currencies; the Aussie Dollar at 8.50AM is buying 87.9 US cents, 80.54 Yen, 61.32 Euro cents and 55.08 Pence Sterling.
In economic news due out today we have the Australian Bureau of Statistics September quarter financial accounts.
In company news about this morning: Virgin Blue (ASX:VBA) shares finished steady yesterday at $0.565. The airline said that overall passenger numbers improved 0.5 percent in November despite domestic passengers declining 3.1 percent compared to a year ago. International routes, excluding Polynesian Blue flights, recorded a 30.9 per cent increase in passenger numbers compared with the prior corresponding period. Virgin Blue chief executive Brett Godfrey said the airline was on track to become profitable this year. Virgin Blue posted a 2009 net loss of $160 million for the year to June 30.
Transurban Group (ASX:TCL) shares closed 1.44% lower yesterday at $5.47. Transurban announced that its 50 per cent-owned Interlink Roads subsidiary has refinanced $510 million of debt for the M5 South West Motorway in Sydney. The toll road operator said lending margins on the new M5 facility had improved by 35 basis points compared to debt facilities refinanced earlier this year. Transurban chief financial officer Tom Honan said the company has refinanced $1.5 billion for its wholly and partly owned assets in 2009. Transurban reported a 2009 net loss of $24.58 million for the year ended June 2009.
There are no stocks going ex dividend today but next week we have Programmed Maintenance Services and SPDR S&P/ASX 200 Listed Property Trust.
Looking at metals: Gold gained $7.80 to US$1,094.50 an ounce for the February contract on Comex. For the March contract Silver improved 15 cents to US$17.18 and copper is up 6 cents at US$3.20.
And the price of oil is $2.27 higher at US$76.67 a barrel for February light crude in New York.
