Mixed US and European leads have poised the Australian share market for muted start this morning. As the local bourse pulled back on Tuesday so too Wall Street paused from its record run amid choppy trade.
Figures
Wall Street finished mixed on Tuesday: The Dow Jones Industrial Average firmed 3 points to close at 14,450, the S&P 500 lost 4 points to close at 1,553 and the NASDAQ lost 11 points to close at 3,242.
European markets also ended mixed on Tuesday: London’s FTSE added 7 points, Paris added 4 points and Frankfurt lost 18 points.
Asian markets closed lower on Tuesday: Hong Kong’s Hang Seng lost 200 points, Tokyo’s Nikkei lost 34 and China’s Shanghai Composite lost 24 points.
The Australian share market sunk 0.6 per cent yesterday, closing at session lows: The S&P/ASX 200 Index dropped 29 points to finish at 5,118. On the futures market the SPI is 9 points higher.
Currencies
The Australian Dollar at 7:20AM was buying $US1.032 cents, 69.26 Pence Sterling, 99.11 Yen and 79.2 Euro cents.
Economic news due out today Australian Bureau of Statistics: Housing finance data for January
Westpac Banking Corporation
(ASX:WBC) and the Melbourne Institute: Survey of Consumer Sentiment
Company news Standard & Poor's has affirmed its outlook for BHP Billiton Limited
(ASX:BHP) just weeks after it cut rival miner Rio Tinto Limited’s
(ASX:RIO) outlook to negative due to debt concerns.
The ratings agency has kept BHP’s outlook as stable with an A credit rating, citing the company’s strong flexibility to repair its metrics even if trading conditions in the mining and metals industry remain flat. Should commodity prices weaken S&P expects BHP to use financial levers such as further cost reductions and deferring or cutting capital expenditure. Shares in BHP Billiton pulled back 0.42 per cent on Tuesday, ending at $35.67.
Melbourne IT Limited
(ASX:MLB) has sold its Digital Brand Services Division for $152.5 million to US-based Corporation Services Company.
The price tag has been applauded by analysts, with the technology services provider’s market value coming in at $160 million before the sale was announced. The now divested division provides online brand protection and consultancy services to global organisations. Shares in Melbourne IT last traded at $1.95, before the announcement was made after the market closed on Tuesday.
Commodities
Gold is up $13.70 to $US1,592 an ounce for the April contract on Comex.
Silver is up $0.32 to $29.17 for March.
Copper is up $0.03 at $3.55 a pound.
Oil is up $0.48 at $US92.54 a barrel for April light crude in New York.
