The Australian share market looks to open higher this morning after both European and US markets closed higher on hopes the Greek debt problems may be easing.
US economic news
Consumer confidence has stalled at a two-year low for September, with the share of households saying it’s tough to find a job climbing to the highest level in almost 30 years. The Conference Board’s sentiment index grew to 45.4 from 45.2 in August.
Figures
On Wall Street: The Dow Jones Industrial Average rose 147 points to close at 11,191, the S&P500 is up 12 points to close at 1,175 and the Nasdaq gained 30 points to close at 2,547.
European stocks closed higher on Tuesday: London’s FTSE was up 205 points, Paris was up 164 and Frankfurt was up 283 points.
To Asian markets, stocks were higher: Hong Kong’s Hang Seng up 723 points, Tokyo Nikkei was up 236 and China’s Shanghai Composite was up 22 points.
The Australian share market gained 3.6 per cent on Tuesday: The S&P/ASX 200 Index rose 141 points to close at 4,005. On the futures market the SPI is currently 28 points higher.
Currencies
The Australian Dollar at 7:35am was buying US 99.1 cents, 63.39 Pence Sterling, 76.12 Yen and 72.94 Euro cents.
Economic news
Due out today are the Housing Industry Association’s (HIA) new home sales figures for August.
Company news
Yesterday shares in Australasian Resources Limited (ASX:ARH) jumped 60.6 per cent, closing at 26.5 cents. The iron ore developer, 64 per cent owned by billionaire Clive Palmer, is said to be raising about $1.1 billion to build a new mine in Western Australia. It told the ASX it was in talks with a “major trading house” for a $600 million investment in the mine. Australasian Resources Limited (ASX:ARH) posted a net loss of $773,000 in the year to December last year.
On Tuesday shares in BHP Billiton Limited (ASX:BHP) rose 4.12 per cent, closing at $35.35. The mining giant says it’s growth ambitions are bigger than rival Rio Tinto, with plans to produce as much as 450 million tonnes of iron ore a year, a significant increase from it’s current 155 million tonnes.
BHP told analysts touring the Pilbara its forecasting slower growth of 4 per cent to 2025. BHP Billiton Limited (ASX:BHP) generated a $22.3 billion net profit for the 2011 financial year.
Ex-dividends
The three companies going ex-dividend today are AVJennings with a fully franked dividend of 2 cents; Contango Capital Partners, and Gerard Lighting Group, both with a fully franked dividend of 3 cents.
Commodities
Gold is up $57.70 to $US1,652 an ounce for the December contract on Comex. Silver is up $1.56 cents to $31.54. Copper is up 16 cents at $3.44 a pound. Oil is up $4.21 at $84.45 a barrel for November light crude in New York.
