The Australian share market looks set to extend the weekly gain after Wall Street edged higher amid hopes for a fiscal cliff resolution to avert automatic spending cuts and tax hikes which could come into effect by year end. US investors were also encouraged by upbeat economic data with the third quarter GDP growth rate revised up to 3.1 per cent, existing home sales up 6 per cent last month and manufacturing activity in the Philadelphia area rebounding this month.
Figures
Wall Street lifted on Thursday: The Dow Jones Industrial Average gained 60 points to close at 13,312, the S&P500 gained 8 points to close at 1,444 and the Nasdaq gained 6 points to close at 3,050.
European markets ended mixed on Thursday: London’s FTSE lost 3 points, Paris added 2 points added Frankfurt added 4 points.
Asian markets also ended mixed on Thursday: Hong Kong’s Hang Seng added 36 points, Tokyo’s Nikkei lost 121 points and China’s Shanghai Composite added 6 points.
The Australian share mark ended 0.4 per cent stronger yesterday, at a 17-month high: The S&P/ASX 200 index rose 16 points on Thursday to end the session at 4,634. On the futures market the SPI is 16 points higher.
Currencies
The Australian Dollar at 8:20AM was buying $US1.048 cents, 64.45 Pence Sterling, 88.5 Yen and 79.19 Euro cents.
Company news Seven Group Holdings Limited
(ASX:SVW) has reportedly divested some of its sharemarket investments to strengthen its balance sheet. According to News Corporation Seven is understood to have sold a part of its $US250 million holding in the Agricultural Bank of China. The reports says the sale proceeds will be recorded in Seven's half-year results due in February, 2012. Shares in Seven Group Holdings gained 2.47 per cent on Thursday, finishing at $8.30.
Financial planning firm AMP Limited
(ASX:AMP) has been warned by The Australian Securities and Investments Commission. ASIC says it has identified a number of areas in AMP Horizons that are not of the standard expected of an Australian financial services licensee. These concerns includ the quality of the advice recommendations, aspects of the advice process and how clients' reasons for seeking advice were identified. Shares in AMP closed steady per cent on Thursday, finishing at $4.80.
Commodities
Gold is down $21.80 to $US1,646 an ounce for the February contract on Comex.
Silver is down $1.43 to $29.68 for March.
Copper is down $0.07 at $3.54 a pound.
Oil is up $0.15 at $US90.13 a barrel for January light crude in New York.
