The Australian share market looks poised for a positive start ahead of domestic jobs data due before noon, with expectations December’s unemployment rate will rise to 5.4 per cent. Overnight offshore markets closed mixed as the World Bank cut its forecasts for global growth and predicted subdued activity in developed countries.
Figures
Wall Street ended mixed on Wednesday: The Dow Jones Industrial Average lost 24 points to close at 13,511, the S&P500 added 0.29 points to close at 1,473 and the Nasdaq added 7 points to close at 3,118.
European markets also finished mixed on Wednesday: London’s FTSE lost 13 points, Paris added 11 points and Frankfurt added 15 points.
Asian markets closed in the red on Wednesday: Hong Kong’s Hang Seng lost 25 points, Tokyo’s Nikkei lost 279 and China’s Shanghai Composite lost 16 points.
The Australian share market rose 0.5 per cent yesterday, closing at session highs: The S&P/ASX 200 Index gained 22 points to end at 4,738. On the futures market the SPI is 8 points higher.
Currencies
The Australian Dollar at 8:15AM was buying $US1.057 cents, 66.07 Pence Sterling, 93.48 Yen and 79.57 Euro cents.
Economic news due out today
Australian Bureau of Statistics: Labour force data for December and international merchandise imports data for December
Company news
Commonwealth Bank of Australia (ASX:CBA) is reportedly considering submitting a bid to buy Rabobank's Indonesian unit before the end of this month. According to numerous media reports Australia’s largest bank is expected to bid around $US400 million for the unit. If CBA does submit a preliminary proposal it will join Industrial and Commercial Bank of China and Qatar National Bank who are also understood to have expressed interest. Shares in Commonwealth Bank rose 0.87 per cent on Wednesday, finishing at $62.29.
Budget airfares in Australia have fallen to a nine-month low according to a report from the Bureau of Infrastructure, Transport and Regional Economics.
The report comes as Australia’s largest airline Qantas Airways Limited (ASX:QAN) and rival Virgin Australia Holdings Limited (ASX:VAH) await regulatory approval for proposed partnerships and acquisitions. Virgin is awaiting the green light to acquire budget carrier Tiger Australia while speculation is mounting the Australia’s competition regulator could grant Qantas interim approval for its tie-up with Emirates as soon as today. Shares in Qantas Airways rose 0.65 per cent on Wednesday, finishing at $1.54.
Ex-dividends today
Katana Capital Limited
(ASX:KAT) with a 1 cent unfranked dividend
Ex-dividends next week
Abacus Property Group
(ASX:ABP) with an 8.25 cent unfranked dividend
Mirrabooka Investments Limited
(ASX:MIR) with a 3.5 cent fully franked dividend
Newhaven Hotels Limited
(ASX:NHH) with a 2 cent fully franked dividend
Commodities
Gold is down $0.70 to $US1,683 an ounce for the February contract on Comex.
Silver is up $0.01 to $31.54 for March.
Copper is down $0.03 at $3.61 a pound.
Oil is up $0.96 at US$94.24 a barrel for February light crude in New York.
