US economy on the up: ASX set to open higher

Market Reports

by Rachael Jones

Australian shares are set to open higher. In the US trading volume jumped amid evidence the American economy keeps growing as a selloff in Treasuries deepened and U.S. stocks edged higher. The gap between US and Australian 10-year yields reached 54 basis points. Crude rallied above $76 a barrel and the US dollar rose the Australian dollar dropped 1 per cent, as it headed closer to a 70 US cents handle.

Local economic news 

The ABS will release the figures for International Trade in Goods and Services, for August later today.

Markets 

The Dow Jones Industrial Average gained 0.2 per cent to close at 26828, the S&P 500 added 0.1 per cent to close at 2926 and the NASDAQ gained 0.3 per cent to close at 8025

European markets closed up: London’s FTSE higher 0.5 per cent, Paris gained 0.4 per cent and Frankfurt closed

Asian markets closed lower: Tokyo’s Nikkei lost 0.7 per cent, Hong Kong’s Hang Seng lost 0.1 per cent, and China’s Shanghai Composite was closed.

Back home the SPI is 9 points higher. And ASX was 0.3 per cent higher or 20 points higher at 6146 at close of trading yesterday.

Company news

Infrastructure company Downer EDI (ASX:DOW) announced that it had been awarded a three-year contract by BHP Billiton Iron Ore for the provision of general maintenance services at its Western Australia Iron Ore operations in Port Hedland. Downer’s scope of works spans the maintenance of the Port Hedland export operations across the Finucane Island and Nelson Point facilities. This will include the provision of mechanical, electrical, heating, ventilation and air conditioning and integration with the BHP maintenance team in planning and executing the services.

Shares in Downer EDI (ASX:DOW) closed 0.4 per cent lower at $7.76 yesterday

And asset management firm Pacific Current Group (ASX:PAC) has entered into an agreement to sell its entire holding of ordinary shares in Celeste Funds Management to Frank Villante, Founder and Chief Investment Officer of Celeste, for $2.34 per share for total proceeds of $1.6m.

Shares in Pacific Current Group (ASX:PAC) closed flat yesterday at $6.50

Ex-dividends

Ainsworth Game Tech (ASX:AGI) is paying 2.5 cents fully franked 
Auckland International Airport (ASX:AIA) is paying 10.021 cents unfranked
ARB Corporation (ASX:ARB) is paying 19.5 cents fully franked
Arowana Internat (ASX:AWN) is paying 0.3 cents fully franked
Genesis Energy (ASX:GNE) is paying 7.6392 cents unfranked
MYOB Group (ASX:MYO) is paying 5.75 cents unfranked
Nufarm (ASX:NUF) is paying 6 cents unfranked
OM Holdings (ASX:OMH) is paying 3 cents unfranked
Rhipe (ASX:RHP) is paying 1 cents  fully franked
Ryder Capital (ASX:RYD) is paying 2 cents fully franked
Sims Metal Management (ASX:SGM) is paying 30 cents fully franked
XRF Scientific (ASX:XRF) is paying 0.3 cents fully franked  

Currencies

One Australian Dollar at 7:30AM was buying 71.08 US cents, 54.93 Pence Sterling, 81.39 Yen and 61.94 Euro cents.

Commodities

Gold has lost US$5.90 to $1201 an ounce.
Silver has lost $0.03 to US$14.66 an ounce.
Oil has gained $0.99 to US$76.22 a barrel.

Cryptocurrencies 

Bitcoin has fallen 1.1 per cent to US$64.92, Ethereum fallen about 3.2 per cent to US$220, and XRP has fallen about 3.3 per cent to $0.53.