The Australian share market looks poised to rise after US equity markets hit more records overnight. Wall Street shrugged off concerns stocks may be overvalued just one day after the US Federal Reserve warned some stocks are looking significant stretched. The Dow hit new all-time highs and also closed at a record high while the S&P 500 and Nasdaq also moved higher. US investors were buoyed by better than expected earnings reports and M&A action including reports Time Warner has rejected a takeover bid from Rupert Murdoch's 21st Century Fox.
Global markets
Wall Street rose on Wednesday: The Dow Jones Industrial Average rose 0.5 per cent to close at 17,138, the S&P 500 rose 0.4 per cent to close at 1,982 and the Nasdaq rose 0.2 per cent to close at 4,426.
European markets gained ground on Wednesday: London's FTSE 100 gained 1 per cent, France's CAC 40 gained 1.5 per cent and Germany's DAX gained 1.4 per cent.
Asian markets closed mixed on Wednesday: Japan’s Nikkei dipped 0.1 per cent, Hong Kong’s Hang Seng added 0.3 per cent, and China’s Shanghai Composite slipped 0.2 per cent.
The Australian share market traded broadly unchanged yesterday to end just slightly higher following China’s better than expected growth figures: The S&P/ASX 200 index firmed 8 points on Wednesday to finish at 5,519. On the futures market the SPI is 10 points higher.
Currencies
The Australian dollar at 7:20am was buying $US0.9366, 54.67 Pence Sterling, 95.22 Yen and 69.26 Euro cents.
Economic news due out today
Australian Bureau of Statistics: International merchandise imports data for June
National Australia Bank Limited
(ASX:NAB): Business survey for the June quarter
Company news
Quarterly production reports are expected from energy giants Woodside Petroleum Limited
(ASX:WPL) and Santos Limited
(ASX:STO) today. The output numbers come in what has been a busy three months for both oil and gas companies. Over the quarter Woodside terminated plans to buy into the Leviathan joint venture in Israel and announced its biggest shareholder Shell will sell most of its stake in the company. In the past month Woodside has inked a 20-year LNG sale and purchase deal, revealed a gas discovery in Western Australia and secured farm-in’s in both Morocco and Tanzania. Shares in Woodside Petroleum firmed 0.17 per cent to close at $41.62 on Wednesday ahead of today’s announcement.
Prima BioMed Limited (ASX:PRR, NASDAQ:PBMD) has received a US patent for its CVac technology to treat cancer. The biotech company says the grant includes a patent term adjustment of almost four years and is an important value proposition for the company. Prima advises the patent term can potentially be further extended by up to five years if CVac receives market approval before it expires. The company believes this would provide it with essential protection over its commercial development well into the future. Shares in Prima BioMed advanced 5 per cent to close at $0.042 on Wednesday following the announcement.
Commodities
Gold has lifted $2.70 to $US1,299.80 an ounce for the August contract on Comex.
Silver has slipped $0.06 to $20.83 for September.
Copper has eased $0.04 to $3.21 a pound.
Oil has gained $1.24 to $US101.20 a barrel for August light crude in New York.
