Following positive leads the Australian share market looks set for a strong open. A surge of optimism in the US followed the release of minutes from the Federal Reserve’s latest meeting. The news that US interest rates would stay steady saw the Aussie trade as high as $US0.94 overnight. US tech stocks rallied, with Facebook climbing more than 7 per cent and Alcoa making strong gains after its earnings beat estimates.
Global Markets
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 181 points to close at 16,437, the S&P 500 added 20 points to close at 1,872 and the NASDAQ added 71 points to close at 4,184.
European markets closed up: London’s FTSE gained 45 points, Paris gained 18 points and Frankfurt is up 16 points.
Asian markets closed mixed: Tokyo’s Nikkei lost 307 points, Hong Kong’s Hang Seng added 246 points, and China’s Shanghai Composite added 7 points.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 53 points up to finish at 5,464. On the futures market the SPI is 40 points up.
Currencies
The Australian Dollar at 7:20AM was buying $US0.9389 cents, 55.93 Pence Sterling, 95.75 Yen and 67.79 Euro cents.
Economic news due out today
Australian Bureau of Statistics: Labour force data for March
Company news
Austal Limited
(ASX:ASB) has secured a $30 million contract to design and build two high speed ferries for the Abu Dhabi National Oil Company.
Construction will take place at the boat builder’s Philippine’s shipyard. The ferries will be used to transfer cargo and personnel to offshore oil and gas installations. Shares in Austal closed 0.3 per cent down yesterday, before the announcement was made, to close at $0.992.
Growthpoint Properties Australia Limited
(ASX:GOZ) is one step closer in its acquisition of an industrial property in Laverton North, in Victoria.
The purchase is valued at $19.85 million and has a new 15 year lease in place to Scott’s Refrigerated Freightways. Shares in Growthpoint Properties closed 1.24 per cent up yesterday at $2.44
Ex-dividends
Katana Capital
(ASX:KAT) paying a 1.5 cent fully franked dividend
Premier Investments
(ASX:PMV) paying a 20 cent fully franked dividend
FFI Holdings
(ASX:FFI) paying a 10 cent fully franked dividend
Commodities
Gold is down $3.20 to $US1,306 an ounce for the June contract on Comex.
Silver is down $0.28 to $19.75 for May.
Copper is down $0.01 at $3.04 a pound.
Oil is up $1.04 at US$103.60 a barrel for May light crude in New York.`
