The Australian share market look set for a steady start to the day. Overseas markets gained on hopes for Chinese stimulus and that Greece will remain in the eurozone, but investors continue to eye the threat from Spain’s banking system.
US economic news
A read on consumer confidence and house price figures have missed expectations. The Conference Board's Consumer Confidence Index dropped more than expected, coming in at 64.9 in May from 68.7 in April.
The Case-Shiller 20-city Index, a measure of US house prices, dropped at an annual rate of 2.6 per cent in March after dropping at an annual rate of 3.5 per cent the month before.
Figures
Returning from the Memorial Day public holiday Wall Street started its trading week stronger: On Tuesday the Dow Jones Industrial Average gained 126 to close at 12,581, the S&P500 gained 15 to close at 1,332 and the Nasdaq gained 33 to close at 2,871.
European markets also closed higher on Tuesday: London’s FTSE gained 35 points, Paris gained 42 points and Frankfurt gained 74 points.
Asian markets also lifted on Tuesday: Hong Kong’s Hang Seng gained 254 points, Tokyo’s Nikkei gained 64 and China’s Shanghai Composite gained 28 points.
The Australian share market extended this week’s gains to end more than 1 per cent higher on Tuesday. Yesterday the S&P/ASX 200 index advanced 46 points to finish at 4,114. On the futures market the SPI is now 4 points higher.
Currencies
The Australian Dollar at 7:20AM was buying 98.47 US cents, 62.98 Pence Sterling, 78.31 Yen and 78.81 Euro cents.
Economic news out today
The Australian Bureau of Statistics: Retail trade for April and construction work done for the March quarter
Company news
Viterra’s (ASX:VTA) shareholders have overwhelmingly backed Glencore's $6 billion takeover bid for the dual listed grain handler. 99.8 per cent of Viterra’s shareholders voted in favour of the friendly takeover offer from the Swiss commodities giant on Tuesday. The takeover is still subject to regulatory approvals in Canada and Australia. Shares in Viterra last traded at $15.84.
Hong Kong investment group Wah Nam International has acquired more than 90 per cent of its takeover target, Brockman Resources Limited (ASX:BRM). Wah Nam says it has secured 91.83 per cent of the iron ore developer and will now compulsorily acquire the remaining shares in the company. Wah Nam has advised its offer, of $1.50 for every Brockman share and 18 Wah Nam shares, will not be extended beyond June 14, 2012. Shares in Brockman Resources last traded at $2.47.
Ex-dividends tomorrow
National Australia Bank Limited (ASX:NAB)
Newhaven Hotels Limited (ASX:NHH)
Commodities
Gold is down $20.20 to $US1,548 an ounce for the June contract on Comex.
Silver is down $0.59 to $27.79 for July.
Copper is up $0.01 at $3.47 a pound.
Oil is down $0.10 at $90.76 a barrel for June light crude in New York.
