The Australian share market is set to open stronger this morning following Wall Street’s positive leads thanks to encouraging US jobs data, and good leads from Europe with Greece’s second bailout seeming to be on track.
US economic news
Initial claims for jobless benefits fell slightly by 2,000 last week to 351,000, hovering near four year lows. Economists had forecast a rise to 355,000 claims.
Figures
Wall Street closed higher on Thursday: The Dow Jones Industrial Average gained 28 points to close at 12,980, the S&P500 added 8 points to close at 1,374 and the Nasdaq rose 22 points to close at 2,999.
European markets finished stronger yesterday: London’s FTSE up 60 points, Paris rose 47 points and Frankfurt gained 86.
Asian markets closed lower yesterday: Hong Kong’s Hang Seng fell 292 points, Tokyo’s Nikkei lost 16 points and China’s Shanghai Composite dropped 2.
The Australian share market ended the day lower on Thursday. The S&P/ASX 200 Index fell 43 points to finish at 4,256. On the futures market the SPI is currently 24 points higher.
Currencies
The Australian Dollar at 8:30AM was buying $US1.0796 cents, 67.69 Pence Sterling, 87.59 Yen and 81.15 Euro cents.
Company news
Fortescue Metals Group Limited (ASX:FMG) shares fell 0.72 per cent on Thursday, closing at $5.53. A High Court judge describes the Australian Securities & Investments Commission’s case against Andrew Forrest as “a bit Orwellian”. The case focuses on allegations Mr Forrest misled investors concerning whether contracts with Chinese corporations were in fact binding. For the half year to December, 2011, Fortescue Metals reported a net profit of $789 million.
Shares in Sandfire Resources NL (ASX:SFR) fell 0.97 per cent on Thursday, closing at $8.17. Sandfire has started mining the first sulphide ore at its DeGrussa copper-gold mine in Western Australia. The first truckload has been delivered ready for processing in the September quarter. It’s ahead of schedule. Sandfire Resources reported a net loss of $27 million for the year to June 30, 2011.
Ex-dividends
Seven companies are going ex-dividend today, including Aristocrat Leisure Limited (ASX:ALL) with a 4 cent unfranked dividend, Blackmores Limited (ASX:BKL) with a 44 cent fully franked dividend and Perpetual Limited (ASX:PPT) with a 50 cent fully franked dividend.
Commodities
Gold is up $10.90 to $US1,722 an ounce for the April contract on Comex.
Silver is up $1.02 to $35.66 for March.
Copper has gained $0.05 at $3.93 a pound.
Oil is flat at $107.07 a barrel for March light crude in New York.
