The Australian share market is eyeing a soft start to the session ahead of a testimony from new US Federal Reserve chief Janet Yellen. Wall Street crept higher ahead of the Yellen’s inaugural speech which is expected to give insight into her position on America’s monetary policy. With the nation’s unemployment rate just having hit a new five-year low of 6.6 per cent investors are looking for hints as to the US central bank’s next move.
Closer to home earnings are in the spotlight as reporting season ramps up and a series of domestic economic data will also be released.
ANZ Banking Group (ASX:ANZ) has started the news flow with its quarterly report revealing the bank’s first-quarter cash profit gained 13 per cent at the end of last year.
Figures
Wall Street posted a soft start to the week with indexes edging higher in anticipation of Yellen’s testimony: The Dow Jones Industrial Average added 8 points to close at 15,802, the S&P 500 added 3 points to close at 1,800 and the NASDAQ added 22 points to close at 4,148.
European markets began the week mixed: London’s FTSE added 20 points, Paris added 9 points and Frankfurt lost 12 points.
Asian markets also closed mixed on Monday: Tokyo’s Nikkei added 256 points, Hong Kong’s Hang Seng lost 58 points, and China’s Shanghai Composite added 42 points.
The Australian share jumped more than 1 per cent into the new week: The S&P/ASX 200 index gained 56 points on Monday to finish at 5,222. On the futures market the SPI is 1 point higher.
Currencies
The Australian Dollar at 8:15AM was buying $US0.8947 cents, 54.55 Pence Sterling, 91.45 Yen and 65.59 Euro cents.
Economic news
Australian Bureau of Statistics (ABS): Housing finance for December
ABS: Residential property price indexes for December quarter
National Australia Bank Limited
(ASX:NAB): Monthly business survey for January
Company news
Hearing device manufacturer Cochlear Limited
(ASX:COH) will release its first half report. CEO Chris Roberts told FNN the current financial year will be characterised by getting the company’s products into the market and would be a year of growth based on the delivery of those products. Ahead of today’s result shares in Cochlear rose 2.22 per cent yesterday to end the session at $58.89.
Mining equipment supplier Bradken Limited
(ASX:BKN) will also release its first half results today. Bradken earlier forecast its first half will be challenging due to continued tight trading conditions with the market downturn forcing further redundancies. However, the company also said a slight uptick in orders should see its full year performance come in broadly unchanged. Ahead of today’s result shares in Bradken gained 3.17 per cent yesterday to end the session at $5.21.
Ex-dividends
Argo Investments Limited
(ASX:ARG) paying a 13.5 cent fully franked dividend
Bki Investment Co Limited
(ASX:BKI) paying a 3.45 cent fully franked dividend
Tabcorp Holdings Limited
(ASX:TAH) paying an 8 cent fully franked dividend
Commodities
Gold has risen $11.80 to $US1,274.70 an ounce for the April contract on Comex.
Silver has firmed $0.17 to $20.11 for March.
Copper has eased $0.02 at $3.22 a pound.
Oil has gained $0.18 at $US100.06 a barrel for March light crude in New York.
