The Australian share market is expected to open flat this morning despite positive leads from US equities.
Once again, the main Wall Street indexes posted new record highs – with investors feeling energised by US President Donald Trump’s upcoming announcement of his “phenomenal” tax plan. Most US sectors finished in the black with healthcare stocks leading the charge, followed by financials.
US economic newsThe consumer price index (CPI) rose 0.6% in January, according to figures from the Labor Department. This was more than expected, and the largest monthly gain in four years (since February 2013). The CPI increased by 2.5 percent, on a year to year basis – which is largest annual gain in almost five years (since March 2012).
The Census Bureau released its January retail sales figures, and they beat expectations. Both core and headline retail sales were up 4% in January.
Local economic newsThe Australian Bureau of Statistics will release its January employment figures later today.
MarketsWall Street closed higher: The Dow Jones added 0.5 per cent to 20,612 points, the S&P 500 gained 0.5% to 2,349 and the NASDAQ was up 0.6 per cent to 5,819.
European markets finished higher as well: London’s FTSE was up 0.5 per cent, Paris gained 0.6 per cent and Frankfurt rose 0.2 per cent.
Asian markets were mixed: Tokyo’s Nikkei gained 1 per cent, the Hang Seng lifted 1.2%, and the Shanghai Composite fell 0.2% percent.
The Australian share market finished higher yesterday: The S&P/ASX 200 Index rose 0.9% (or 54 points) to close at 5,809. On the futures market the SPI is down 3 points.
Company newsPropertylink Group
(ASX:PLG) has exchanged contracts to sell two manufacturing warehouses in Rydalmere, NSW, for $27.5 million. The company says this sale price is a 25% premium to their book value. According to Propertylink, after these properties are sold, the weighted average lease expiry of its property portfolio will be 4.4 years. Yesterday, shares in Propertylink closed 1.91% higher at 80 cents.
Reporting seasonIt’s first-half earnings season, and a few companies will release their results today. They include: Goodman Group
(ASX:GMG), Mirvac
(ASX:MGR), Origin Energy
(ASX:ORG), Telstra
(ASX:TLS), Sydney Airport
(ASX:SYD) and South32
(ASX:S32).
Ex-dividendsTwo companies are going ex-dividend today. They are Contango Microcap
(ASX:CTN) and Henry Morgan
(ASX:HML).
CurrenciesThe Australian Dollar at 8:30AM strengthened against the US greenback, buying $US0.7717. The Aussie Dollar was also buying 61.95 Pence Sterling, 88.07 Yen and 72.8 Euro cents.
CommoditiesGold has gained $4.20 to $US1,234 an ounce.
Silver was up 8 cents to $17.96 an ounce.
Oil has lifted by $0.02 to $US53.50 a barrel.
