Wall St closed flat despite Syria attack: Aus shares to open higher

Market Reports

by Jessica Amir

The Australian Share market is tipped to open slightly higher based on ASX futures, which is out of sync with Wall Street’s mostly flat close on Friday. The S&P500 and the tech heavy Nasdaq both closed pretty much flat, while the Dow Jones fell over 6 points as investors weighed through a mixed US jobs report and a US airstrike in Syria.

Goldman Sachs was one the biggest fallers on the Dow, while consumer staples lead the advancers on the S&P500, while utlilies lagged.

Meantime Oil, has taken the cake as a stand out performer after it traded near a one-month high, jumping 1.04% on Friday, after the United States fired missiles at a Syrian government airbase. Gold also raised the bar and hit a five-month high.

US economic news

US created only 98,000 Nonfarm payroll jobs in March, versus the 180,000 expected.
Meantime, the unemployment rate fell to a 10-year low of 4.5%

Local economic news due out this week:

- On Monday, the ABS will report the housing finance number for February, with expectations that we will see a 0.7% fall in the number of loans.
- On Tuesday, NAB will release its business survey for March. In February, conditions eased from their 9-year high.
- Come Wednesday, we will see a suite of data from the ABS including, lending finance for February, tourist arrivals for March, consumer confidence for April and credit and debit card lending for February.
- On Thursday, the ABS will report the all important employment data for March, with expectations we will see a 25,000 increase in jobs.
- And finally, the RBA will release its Financial Stability Review, which is a bi-annual report from that which discusses the conditions of the financial system.


Wall Street closed flat on Friday: The Dow Jones Industrial Average closed flat at 20,656, the S&P 500 lost 0.1 per cent to close at 2,356 and the NASDAQ closed flat at 5,878.

European markets closed mixed: London’s FTSE rose 0.6 per cent, Paris gained 0.3 per cent and Frankfurt fell 0.1 per cent.

Asian markets closed mixed: Tokyo’s Nikkei added 0.4 per cent, Hong Kong’s Hang Seng closed flat, and China’s Shanghai Composite gained 0.2 per cent.

And back home, the Australian share market closed higher on Friday: The S&P/ASX 200 Index closed 6 points up to finish at 5,862. Over the week it has fallen by 2 points. On the futures market the SPI is 14 points up.

Company news

Ariadne Australia Limited (ASX:ARA) has entered into an agreement to buy the freehold interest in a 11-story commercial office tower in Brisbane, Queensland. The investment company inked the deal with its joint venture to buy the freehold interest in 40 Tank Street, Brisbane, for a net adjusted price of $56.1million. Ariadne says the JV’s acquisition will provide value for shareholders. Settlement is expected to occur on 31 May 2017. Shares in Ariadne Australia Limited (ASX:ARA) last traded at flat at 76 cents.


5 companies are going ex-dividend today:
Brickworks Limited (ASX:BKW) is paying 17 cents fully franked and Gowing Brothers Limited (ASX:GOW) is paying 6 cents fully franked.


The Australian Dollar at 7:15AM was buying 74.96 cents, 60.54 Pence Sterling, 83.23 Yen and 70.80 Euro cents.


Gold has gained $2.50 to $US1,256 an ounce.
Silver has fallen 26 cents to US$17.99
Oil has gained $0.62 to $US52.29 a barrel.

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.