Wall Street rebounds: Aus shares to recover

Market Reports

by David Murdoch

The Australian share market looks set to erase some of yesterday’s losses after Wall Street rebounded.

The Dow Jones closed 57 points higher, after plunging earlier in the session by as much as 135 points. United Technologies and Boeing added the most fuel. The tech heavy Nasdaq also erased losses, close 0.3 per cent higher after Apple hit another record high. The S&P 500 also closed in positive territory with industrials leading the charge.

But Hurricane Harvey is continuing to impact US oil price with 13 per cent of US Gulf Coast refining capacity shut down. Crude has fallen to a 5-week low, settling at $46.44.

On the flip-side Gold has climbed to a 9 month high as tensions in North Korea continue to escalate.

US economic news

The US National Home Prices have again lifted for the 12 months to June rising 5.8 per cent beating the 5.7 per cent expected. It also follows the 5.7 per cent year on year gains made to May according to S&P CoreLogic Case-Shiller.

The Consumer Confidence Index rose for the month of August beating expectations of a drop. The Conference Board says this better-than-expected result puts consumer confidence at its second best level this year with consumers buoyant assessment claiming jobs were even more plentiful than last month. 

Local economic news

The Australian Bureau of Statistics is set to release the data for Building approvals for July. Approvals surged close to 11 per cent for the month of June.

The ABS also releases construction work for the Jun quarter, covering engineering, commercial and residential figures.

Markets

Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 0.3 per cent to close at 21,865, the S&P 500 added 0.1 per cent to close at 2,446 and the NASDAQ gained 0.3 per cent to close at 6,302.

European markets closed lower: London’s FTSE shed 0.9 per cent, Paris lost 0.9 per cent and Frankfurt lost 1.5 per cent.

Asian markets closed mixed: Tokyo’s Nikkei lost 0.5 per cent, Hong Kong’s Hang Seng shed 0.4 per cent, and China’s Shanghai Composite gained 0.1 per cent.

And back home, the Australian share market closed lower yesterday: The S&P/ASX 200 Index closed 41 points down or 0.7 per cent lower for the day, to finish at 5,669.

On the futures market the SPI is 29 points up.

Company news

Hunter Hall Global Value (ASX:HHV), the listed investment company of the merged entity, Pengana Capital Group, has reported a net loss for the year ending 30 June 2017 of $22.9 million, a fall of 175 per cent compared to the prior corresponding period. Hunter Hall Global Value reported a 2017 interim and final dividend of 3.5 cents per share 30 per cent franked. Shares in Hunter Hall Global Value (ASX:HHV) last traded 0.87 per cent lower to $1.14.

Reporting season

We can watch out for
Boral (ASX:BLD)
Gateway Lifestyle Group (ASX:GTY)
Independence Group NL (ASX:IGO)
Sandfire Resources (ASX:SFR) which are set to report financial results today.

Ex-dividends

There are a lot of companies going ex dividend today, just to name a few,

Bapcor Limited (ASX:BAP) is paying 7.50 cents fully franked
Contact Energy (ASX:CEN) is paying 13.91 cents un franked
Mineral Resources (ASX:MIN) is paying 33 cents fully franked
Telstra Corporation (ASX:TLS) is paying 15.50 cents fully franked




Currencies

One Australian Dollar at 8.00 AM was buying 79.51 US cents, 61.58 Pence Sterling, 87.20 Yen and 66.44 Euro cents.

Commodities

Gold has lost $0.70 to $US1,315 an ounce.
Silver has shed $0.07 to $US17.46 an ounce
Oil has lost $0.25 to $US46.32 a barrel.