US retail sales decline unexpectedly: ASX poised to open lower

Market Reports

by Rachael Jones

Following weak leads from US markets, the Australian share market looks set to open lower this morning. Retail sales in the US saw the first decline in seven months – this could bolster potential for a third Federal Reserve interest-rate cut. The Brexit saga over in the UK is also causing concerns for the markets. Meanwhile, it was good news for Netflix as theirshares surged yesterday after they company reported results for the third quarter, beating earnings but missing expectations for revenue.

Local economic news 

From the ABS, we are set to see the labour force figures for September.


Wall Street closed lower yesterday: The Dow Jones Industrial Average fell 0.1 per cent to close at 27,002, the S&P 500 closed 0.2 per cent lower at 2990 and the NASDAQ dropped 0.3 per cent to 8124.

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

Asian markets closed mixed, Tokyo’s Nikkei closed 1.2 per cent higher, Hong Kong’s Hang Seng was up 0.6 per cent and China’s Shanghai Composite lost 0.4 per cent.

Taking all of this into equation, the SPI futures are pointing to a 0.2 per cent fall.

Yesterday, the Australian share market closed 84 points (1.3%) higher at 6737.

Company news

Gold producer, Beacon Minerals (ASX:BCN) has acquired the Panther lease located 7 kilometres from the Jaurdi Project in Western Australia. The lease contains a JORC Resource of over 10,000 ounces of gold with significant exploration potential. The newly acquired tenement was purchased from Corinthian Mining for $125,000. The Tenement is located approximately 7 kilometres northwest along the Jaurdi Hills Road from the Jaurdi processing plant. Shares in Beacon Minerals (ASX:BCN) closed 5 per cent lower at 3.8 cents yesterday.

Ex – Dividend

Aust Vintage Ltd (ASX:AVG) is paying 2 cents fully franked
Imdex Limited (ASX:IMD) is paying 2 cents fully franked
Ridley Corporation (ASX:RIC) is paying 2.75 cents fully franked
Villa World Ltd (ASX:VLW) is paying 31 cents fully franked
WAM Capital Limited (ASX:WAM) is paying 7.75 cents fully franked


One Australian Dollar at 7:45 AM was buying 67.61 US cents, 52.73 Pence Sterling, 73.54 Yen and 61.07 Euro cents.


Iron Ore has lost 5.5 per cent at US$87.86.
Iron Ore futures suggest a 2.7 per cent fall.
Gold has gained $10.30 to US$1494 an ounce.
Silver has added $0.03 cents to US$17.41 an ounce.
Oil has risen $0.47 to US$53.28 a barrel.

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.