The Australian share market looks to be eyeing a soft open following negative offshore leads. US and European stocks started the week lower as concerns for Europe’s debt situation and disappointing Chinese and German economic data weighed on sentiment.
Figures
Wall Street started the week lower: The Dow Jones Industrial Average lost 21 points to close at 13,559, the S&P500 lost 3 points to close at 1,457 and the Nasdaq lost 19 points to close at 3,161.
European markets also fell on Monday: London’s FTSE lost 14 points, Paris lost 34 points and Frankfurt lost 38 points.
Asian markets started the week mixed: Hong Kong’s Hang Seng lost 40 points, Tokyo’s Nikkei lost 41 and China’s Shanghai Composite added 7 points.
The Australian share market started the week 0.5 per cent lower yesterday: The S&P/ASX 200 dropped 23 points on Monday to close at 4,386. On the futures market the SPI is now 2 points down.
Currencies
The Australian Dollar at 7:20AM was buying $US1.042 cents, 64.3 Pence Sterling, 81.15 Yen and 80.63 Euro cents.
In economic new due out today
Reserve Bank of Australia (RBA): Financial Stability Review
Company news National Australia Bank Limited’s
(ASX:NAB) chief economist says we can expect the Reserve Bank of Australia to deliver two more rate cuts which could come into effect as early as next month. Alan Oster has told Fairfax Media softening commodity prices, a higher Australian dollar and the approaching end of resources investment boom are all factors pushing the RBA to lower rates from the current 3.5 per cent. NAB has forecast rates will drop by 25 basis points in both November and February but says a rate cut as early as next month is possible. Shares in National Australia Bank firmed 0.39 per cent on Monday to close at $25.50.
Australian Infrastructure Fund Limited
(ASX:AIX) experienced 5.3 per cent passenger growth in July, with both domestic and international travellers increasing from the year before. The airport and infrastructure investor says all of its Australian airport groups experienced domestic passenger growth for the month with Perth Airport the stand-out performer. Shares in Australian Infrastructure Fund closed steady on Monday at $3.05.
Ex-dividends today
Blackmores Limited
(ASX:BKL): 83 cent fully franked dividend
Careers MultiList Limited
(ASX:CGR): 0.5 cent fully franked dividend
Dicker Data Limited
(ASX:DDR): 2 cent fully franked dividend
Lycopodium Limited
(ASX:LYL): 21 cent fully franked dividend
Commodities
Gold is up $2.30 to $US1,767 an ounce for the December contract on Comex.
Silver is up $0.04 to $34.02 for December.
Copper is up $0.01 at $3.74 a pound.
Oil is up $0.06 at $US91.99 a barrel for November light crude in New York.
