Following positive leads from Wall Street, the Australian share market looks set to open higher this morning. US stocks rebounded in afternoon trade, as investors decided to go bargain hunting following two trading days in the red. We saw the price of oil once again gain some ground overnight, after it hit its lowest level in more than a decade on Monday.
US Economic news
Latest figures from the Commerce Department have shown US GDP expanded at a slower rate for the third quarter with a 2 per cent gain, compared to a 2.1 per cent increase in the second quarter. However the read did beat economist’s expectations of a 1.9 per cent gain.
Meantime, the prices of homes across America have risen in September, beating market expectations. According to the S&P/Case Shiller composite index, 20 metropolitan areas gained 5.5 percent in September on year, compared to a 5.1 per cent rise in the year to August.
To the figures: Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 1 per cent to close at 17,417, the S&P 500 added 0.9 per cent to close at 2,039 and the NASDAQ gained 0.65 per cent to close at 5,001.
European markets closed mixed: London’s FTSE added 0.8 per cent, Paris gained 0.05 per cent and Frankfurt lost 0.1 per cent.
Asian markets closed mixed: Tokyo’s Nikkei lost 0.2 per cent, Hong Kong’s Hang Seng gained 0.2 per cent, and China’s Shanghai Composite gained 0.3 per cent.
The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 8 points higher to finish at 5,117. On the futures market the SPI is 24 points higher.
The Australian Dollar at 8.20AM was buying $US0.7230 cents, 48.78 Pence Sterling, 87.52 Yen and 66.01 Euro cents.
Centuria Metroplitan REIT (ASX:CMA)
has confirmed that the fund’s distribution for the three months ended 31 December 2015 will be 4.25 cents per stapled security. The total distribution for the year ended 30 June 2016 is estimated to be 17 cents per stapled security. Shares in Centuria Metropilitan closed 0.25 per cent higher yesterday at $1.99.
BC Iron Limited (ASX:BCI)
has advised it’s in a formal dispute with the former mining services contractor for the Nullagine Joint Venture, Watpac Civil and Mining. The company says Watpac has made claims for various amounts from BC Iron for services provided over a period of 57 months. BC Iron says it believes it has paid Watpac all of the money it is due. Shares in BC Iron closed 4.76 per cent lower yesterday at $0.10.
One company is going ex-dividend today: Brookfield Prime (ASX:BPA)
will pay an unfranked dividend of $2.50.
Gold has lost $8.70 to $US1,072 an ounce for the February contract on Comex.
Silver has lost $0.06 to $14.25 for March.
Copper has lost $0.03 to $2.11 a pound.
Oil has gained $0.37 to $US36.18 a barrel for January light crude in New York.