The Australian share market is tipped for soft start, after Wall Street closed mixed on Tuesday after Trump Junior released a controversial email chain. The Dow Jones initially fell 100 points after the email was released, but recovered later to close at breakeven.
The emails noted Donald Trump Junior was offered ‘high level and sensitive information’ that would incriminate Hillary Clinton, in support of the Russian government backing Donald Trump Senior’s presidential campaign. The S&P closed almost flat as well, while the tech heavy Nasdaq advanced.
Meantime, gold is hovering near-four month lows, but is trading higher, while Oil prices have jumped 3 per cent as US stockpiles fell.
US economic news
US wholesale inventories posted largest gain in 5 months. The Commerce Department reported US wholesale inventories rose 0.4 per cent in May, rebounding from a 0.4 per cent decline in April.
Meanwhile, auto inventories jumped 0.7 per cent in May, after declining 1.4 per cent in April.
It is important to note though, the wholesale inventories component that goes into the calculation of gross domestic product (GPD), wholesale stocks excluding autos, increased 0.3 per cent in May.
Local economic news
The Reserve Bank will reveal the credit and debit card data for May.
Westpac will announce its consumer confidence findings for July.
Wall Street closed mixed: The Dow Jones Industrial Average closed flat at 21,409, the S&P 500 lost 0.08 per cent to close at 2,426 and the NASDAQ advanced 0.27 per cent to close at 6,193.
European markets closed lower: London’s FTSE lost 0.55 per cent, Paris fell 0.5 per cent and Frankfurt slipped 0.1 per cent.
Asian markets closed mixed: Tokyo’s Nikkei added 0.6 per cent, Hong Kong’s Hang Seng rose 1.5 per cent, and China’s Shanghai Composite lost 0.3 per cent.
And back home, the Australian share market closed in the black on Tuesday: At the closing bell, The S&P/ASX 200 Index closed 5 points higher at 5,729. On the futures market the SPI is 5 points down.
Tabcorp Holdings (ASX:TAH) and Tatts Group (ASX:TTS) are remaining committed to their merger, despite the Australian Competition and Consumer Commission’s (ACCC) application to the Federal Court to review the merger authorisation.The gaming operator, Tabcorp says it will oppose ACCC’s application and will pursue an expedited hearing.The ACCC is seeking to clarify the law as it applies to all mergers and non-merger authorities.Because of that, the implementation timing will be impacted. Nevertheless, Tabcorp expects the merger will occur in the last quarter of 2017.Shares in Tabcorp (ASX:TAH) closed 0.23 per cent lower to $4.28.
Tegel Group Holdings (ASX:TGH) is paying 3.94 cents un franked.
The Australian Dollar at 7:25 AM was buying 76.40 US cents, 59.48 Pence Sterling, 87.05 Yen and 66.66 Euro cents.
Gold has gained $3.80 to $US1,217 an ounce.
Silver has added 19 cents to $US15.82 an ounce.
And Oil has rose $1.31 to $US45.91 a barrel.