The SPI is pointing to a slightly higher start for the Australian share market after Wall Street rose into the new week. The S&P 500 finished at record after surpassing the psychological 2,000 point mark earlier in the session for the first time. US traders were encouraged by comments from the European Central Bank’s chief suggesting the ECB could do more to stimulate the economy.
Closer to home reporting season continues and among the companies expected to report today are annual results from Pacific Brands Limited
(ASX:PBG), Paladin Energy Limited
(ASX:PDN) and Blackmores Limited
(ASX:BKL) while interim results are expected from Boart Longyear Limited
(ASX:BLY).
Across commodity markets the price of iron ore has continued to slide and the gold price is also weaker.
Global markets
Wall Street lifted into the new week: The Dow Jones Industrial Average gained 0.4 per cent to close at 17,077, the S&P 500 gained 0.5 per cent to close at 1,998 and the Nasdaq gained 0.4 per cent to close at 4,557.
European markets closed mixed on Monday: London's FTSE 100 was out of action for a bank holiday, France's CAC 40 added 0.2 per cent and Germany's DAX jumped 1.8 per cent.
Asian markets also ended mixed on Monday: Japan’s Nikkei advanced 0.5 per cent, Hong Kong’s Hang Seng rose 0.2 per cent, and China’s Shanghai Composite fell 0.5 per cent.
As the local earnings rolled in the Australian share market posted a soft start to the week: The S&P/ASX 200 index lost 11 points on Monday to close at 5,635. On the futures market the SPI is 4 points higher.
Currencies
The Australian dollar at 7:30am was buying $US0.9297, 56.1 Pence Sterling, 96.74 Yen and 70.49 Euro cents.
Economic news due out today
ANZ Banking Group
(ASX:ANZ)-Roy Morgan: Weekly consumer confidence survey
Company news
Ahead of releasing its annual results today Pacific Brands Limited
(ASX:PBG) has attracted speculation it is considering the sale of some assets. The clothing manufacturer of brands such as Bonds and Sheridan launched a strategic review in June. At the time Pacific Brands also lowered its earnings expectations, warned its net debt is expected to increase and flagged restructuring costs. Analysts have forecast the company could reveal a net profit drop of about 30 per cent. Ahead of today’s results shares in Pacific Brands closed steady at $0.57 on Monday.
Kathmandu Holdings Limited
(ASX:KMD) is on the hunt for a new chief after its current boss announced his intention to leave. The outdoor clothing retailer’s CEO Peter Halkett will step down from November 25 after eight years in the top job. Kathmandu Holdings says Mr Halkett will work with the board and executive on an appropriate transition plan. The company plans to evaluate options for recruiting a successor in the weeks ahead. Shares in Kathmandu Holdings dropped 4.3 per cent to close at $2.89 on Monday following the announcement.
Ex-dividends
Coca-Cola Amatil Limited
(ASX:CCL) paying a 20 cent, 75 per cent franked dividend
Energy Action Limited
(ASX:EAX) paying a 3.62 cent fully franked dividend
Integrated Research Limited
(ASX:IRI) paying a 2.5 cent 35 per cent franked dividend
Origin Energy Limited
(ASX:ORG) paying a 25 cent unfranked dividend
Treasury Group Limited
(ASX:TRG) paying a 27 cent fully franked dividend
Commodities
Gold has slipped $1.30 to $US1,279 an ounce for the December contract on Comex.
Silver has dipped $0.03 to $19.36 for September.
Copper has added $0.01 to $3.22 a pound.
Oil has dropped $0.30 to $US93.35 a barrel for October light crude in New York.
