Outlook: Aus shares set to open higher

Market Reports

by Jessica Ellerm

Following positive leads, the Australian share market looks set to open higher. US stocks rebounded overnight after a jittery week, with speculation about Brexit weighing on investor sentiment. The S&P 500 was the main winner from the session, ending a five-day losing streak, bolstered by strong advances in the telecoms sector. 

US economic news

YoY May data showed inflation coming in slightly below market expectations at 1 percent versus 1.1 percent. Core inflation data accelerated slightly to 2.20 percent, up from the 2.1% reported in April’s YoY figures. Jobless claims were also up for the week, coming in at 277,000.
Wall Street closed up yesterday: The Dow Jones Industrial Average gained 0.5 per cent to close at 17,733, the S&P 500 added 0.3 per cent to close at 2,078 and the NASDAQ lifted 0.2 per cent to close at 4,845.
European markets closed lower: London’s FTSE was down 0.3 per cent, Paris lost 0.5 per cent and Frankfurt fell 0.6 per cent.
Asian markets closed lower: Tokyo’s Nikkei dropped 3 per cent, Hong Kong’s Hang Seng fell 2.0 per cent, and China’s Shanghai Composite was down 0.5 per cent.
The Australian share market closed steady yesterday: The S&P/ASX 200 Index closed 1 point down to finish at 5,146. On the futures market the SPI is 35 points up. 
Turning to currencies and the Australian Dollar at 7:20AM was buying $US73.65 cents, 51.85 Pence Sterling, 76.81 Yen and 65.61 Euro cents.
Company News
Primary Health Care Limited (ASX:PRY) has announced it will divest its pathology assets in Queensland and Northern New South Wales to Medlab Pathology to end an ACCC investigation. The divestment represents 3 percent of Primary’s pathology centres, with the healthcare company expecting no material impact on profit as a result of the sale. 
Shares in Primary Health Care Limited closed 3.14 per cent lower yesterday at $3.70.  
GDI Property Group (ASX:GDI) has announced it has established a new office trust with two properties in Townsville and Ashfield, with the company electing to retain a 45 percent stake. This is the first time the group has taken a meaningful stake in a Trust, and it expects its holding to add approximately $1.3 million to Funds From Operations in the following financial year. 
Shares in GDI Property Group closed 1.11 per cent up yesterday at $0.910.  
One company is going ex-dividend today. G8 Education Limited will pay 6 cents fully franked.

Gold has gained $10.10 to $US1,298 an ounce for the August contract on Comex.
Silver is up $0.10 to $17.61 for July.
Copper has fallen $0.04 to $2.05 a pound for July.
Oil is down $1.19 to $US46.74 a barrel for July light crude in New York.

Jessica Ellerm

Finance News Network
Jessica joined FNN in April 2016 and presents the Australian Share Market Outlook, and reports on the morning's leading business stories. Alongside FNN Jessica is a fintech industry commentator, writing for her own blog and a number of international online publications.