Financials weigh down Wall Street: Aus shares to open lower

Market Reports

by Jessica Amir

The Australian share market is poised to open lower this morning, after US markets closed mixed on Friday, following declines in financials and health care stocks.

Both the S&P and the Dow Jones closed in the Red, while the Nasdaq posted its 7th positive day, hanging to a gain of just 0.24 points. Shares in Adobe, Microsoft and Starbucks edged higher. While on the S&P 500, financials fell over 1%. On a weekly basis though, all major indices closed higher for the week.

The US also saw the highest amount of trades recorded since last December.

Other movers were Gold which advanced on Friday, making way for first weekly gain since February, after the US dollar hit a five-week low.

US economic news

US factory production, which is a measure of everything made by factories, mines and utilities —rose for its sixth straight month in February.

In number terms, Factory production rose to a seasonably adjusted 0.5% in February, following an identical gain in January.

Manufacturing in cars, steel and computers rose last month, so too did mining output from increases in oil and gas drilling.

Local economic news

Today, RBA Assistant Governor Luci Ellis will make a speech at the ACT launch of the Women in Economics Network in Canberra.

On Tuesday the RBA will release the Bank Board Minutes from the RBA’s meeting on 7 March 2017, which resulted in the central bank leaving the official cash rate at 1.5%.

Also on Tuesday, we can also expect the residential property prices for December.

Come Thursday, we the ABS will release the Job Data for February and the Population numbers for the September quarter.

Markets

Wall Street closed mixed on Friday: The Dow Jones Industrial Average lost 0.1per cent to close at 20,915, the S&P 500 fell 0.1 per cent to close at 2,378 and the NASDAQ closed pretty much flat at 5,901.

European markets closed higher: London’s FTSE rose 0.1 per cent, Paris advanced 0.3 per cent and Frankfurt climbed 0.1 per cent.

Asian markets closed mixed: Tokyo’s Nikkei fell 0.4 per cent, Hong Kong’s Hang Seng rose 0.1 per cent, and China’s Shanghai Composite fell almost 1.0 per cent.

And back home, At the closing bell the S&P/ASX 200 index closed 14 points up to finish at 5,800 on Friday. Over the week the index gained 24 points.On the futures market the SPI is 13 points down.

Company news

St Barbara Limited (ASX:SBM) has requested its credit ratings be withdrawn. It comes as the Asia-Pacific gold producer and explorer completed a full repayment of its US Senior Secured Notes last week. The miner is therefore requesting that ratings agencies, Standard and Poors and Moody’s withdraw their corresponding credit ratings issued. Shares in St Barbara Limited (ASX:SBM) last traded 3.8% lower to $2.53.

Ex-dividends

There are quite a few companies going ex-dividend today. Just to name a few;Amaysim Aus Limited (ASX:AYS) is paying 4 cents unfranked, Costa Group Holdings (ASX:CGC) is paying 4 cents fully franked, Link Admin Holdings (ASX:LNK) is paying 6 cents unfranked and Spotless Group Holdings Limited (ASX:SPO) is paying 1.35 cents unfranked.




Currencies

The Australian Dollar at 7:30AM was buying 76.94 US cents, 62.14 Pence Sterling, 86.76 Yen and 71.69 Euro cents.

Commodities

Gold has gained $2.90 to $US1,229 an ounce.
Silver has advanced 7 cents to $17.41.
Oil has fallen 5 cents to $US49.26 a barrel.

 

Jessica Amir

Finance News Network
Jessica is a senior finance journalist and presents the Market Outlook, Market at Midday and Market Wrap. She also presents ASX company news and interviews CEOs. She joined FNN in January 2017 with six years of broadcast journalism experience. She worked as a journalist and producer with Sky News Business, ABC 1, ABC's The Business and ABC24. She also worked in regional Australia for Prime 7 and WIN News as a TV reporter. In her prior life she worked as a financial planner.