The Australian share market is set for a moderate start to the day despite positive offshore leads after Germany’s Constitutional Court approved the European bailout fund. US Stocks also lifted in anticipation for monetary easing from the Federal Reserve.
US economic news
US import and export prices rose in August according to the US Bureau of Labor Statistics. Import prices climbed 0.7 per cent after dropping the same amount the month before. Export prices jumped 0.9 per cent after a 0.4 per cent increase in July.
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 10 points to close at 13,333 S&P500 added 3 points to close at 1,437 and the Nasdaq was up by 10 points to close at 3,114.
European markets closed mixed: London’s FTSE lost 10 points, Paris added 6 and Frankfurt gained 33 points.
Asian markets closed up: Hong Kong’s Hang Seng added 218 points, Tokyo’s Nikkei added 153 and China’s Shanghai Composite gained 6 points.
The Australian share market closed higheryesterday: The S&P/ASX 200 Index closed 35 points up to finish at 4,361. On the futures market the SPI is 4 points down.
The Australian Dollar at 7:20AM was buying $US1.046, 65.00 Pence Sterling, 81.48 Yen and 81.15 Euro cents.
Due out today from the Reserve Bank of Australia is the bulletin for the September quarter. Melbourne Institute will release consumer inflation expectations.
Wilson Asset Management a major shareholder in Alesco Corporation Limited (ASX:ALS)
has told News Limited it will vote against the building products supplier’s major resolutions at its annual meeting next week. Managing Director Geoff Wilson voted in favour of DuluxGroup Limited (ASX:DLX)
takeover offer and has about a 6 per cent stake in Alesco. The resolutions before shareholders include whether Alesco's Chief Executive be granted close to $795,000 in shares. Mr Wilson says he questions whether the board is acting on behalf of shareholders. Shares in Alesco closed flat yesterday at $1.90.
Aquila Resources Limited (ASX:AQA)
subsidiary API Management Pty Ltd (API) has won its case against its joint venture partner Red Hill Iron Limited (ASX:RHI)
in the Supreme Court of Westren Australia yesterday. Red Hill claimed it was entitled to develop and part own a share of the port and rail infrastructure that will service the West Pilbara Iron Ore project. It is now liable to pay API's costs. Red Hill commenced proceedings in August last year. Shares in Aquila Resources closed 3.46 per cent up yesterday at $2.39.
Transfield Services Limited (ASX:TSE)
with a 9 cent unfranked dividend
Devine Limited (ASX:DVN)
with a 2 cent fully franked dividend.
Gold is down $1.20 to $US1,733.70 an ounce for the December contract on Comex.
Silver is down $0.27 to $33.29 for December.
Copper is down $0.01 at $3.69 a pound. Oil is down $0.16 at US$97.00 a barrel for October light crude in New York.