The Aussie sharemarket is expected to open higher today after Italy moved quickly over the weekend to appoint former European commissioner Mario Monti as prime minister after the resignation of Silvio Berlusconi. The Italian senate also approved economic reforms giving investors some relief from euro zone debt crisis worries.
US economic news
A measure of future US economic growth has risen to an eight-week high, while the annualised growth rate’s also improved. The Economic Cycle Research Institute, a New York-based independent forecasting group, says its Weekly Leading Index rose up to 122.3 in the week that ended November 4, from 122.1 the week before. The index's annualized growth rate gained to minus 8.5 per cent from minus 9.4 per cent the week before.
Figures
On Friday, The Dow Jones Industrial Average rose 260 points to close at 12,154, the S&P500 gained 24 points to close at 1,264 and the Nasdaq gained 54 points to close at 2,679.
European stocks rose on Friday: London’s FTSE was up 101 points, Paris was up 85 points and Frankfurt was up 189 points.
To Asian markets, stocks also rose: Hong Kong’s Hang Seng was up 173 points, Tokyo Nikkei was up 14 and China’s Shanghai Composite was up 2.
At the end of last week, the Australian share market finished more than a per cent higher: The S&P/ASX 200 Index advanced 52 points to close at 4,297. On the futures market the SPI is currently 44 points higher.
Currencies
The Australian Dollar at 8:15am was buying $US1.3.25, 64.22 Pence Sterling, 79.72 Yen and 74.89 Euro cents.
Economic news
The Australian Bureau of Statistics (ABS) is scheduled to release lending finance figures for September.
Company news
At the end of last week shares in AGL Energy Limited (ASX:AGK) closed 1.09 per cent higher at $14.89. Chief executive Michael Fraser says the different stances of the federal government and the opposition on carbon tax is creating uncertainty, and a bipartisan policy on reducing carbon emissions would be better for the energy sector. He told the ABC he’s concerned about misinformation that’s circulating about the coal seam gas industry, and that it can in fact co-exist with the agriculture industry quite happily. AGL Energy Limited (ASX:AGK) reported a net profit of $559 million for the six months to June.
On Friday shares in Aquila Resources Limited (ASX:AQA) lifted 1.98 per cent to finish at $6.68. The miner’s expected to release a revised capital cost estimate for its $US5.8 billion joint venture project in the Pilbara with AMCI by the end of the quarter. Managing director Tony Poli told Fairfax several aspects of the project are being reworked, like using contract miners and a sale and lease-back of equipment to save on upfront costs. Aquila Resources Limited (ASX:AQA) reported a full year net loss of $64.5 million for 2011.
Ex-dividends
Today Astivita Renewables are going ex-dividend with a fully franked four cents, as well as Orica with a fully franked 53 cents and Tamawood with a fully franked 13 cents.
Commodities
Gold is up $28.50 to $US1,784 an ounce for the December contract on Comex. Silver is up 57.6 cents to $34.68. Copper is up nine cents at $3.46 a pound. Oil is flat at $98.99 a barrel for December light crude in New York.
