OPEC consider oil production cuts: ASX poised to open higher

Market Reports

by Rachael Jones

Following soft leads from US markets, the Australian share market looks set to open higher this morning. Stocks rose in Asia and Europe as China and the US tried to reach an agreement on their 20-month-long trade war. On Wall Street, all three benchmarks ended slightly higher. The Organization of the Petroleum Exporting Countries otherwise known as Opec and allies led by Russia agreed yesterday to one of the deepest output cuts this decade. The move is to support crude prices and prevent a glut. They will meet again today in Vienna to discuss supply policy.

Local economic news 

AiG performance of construction November

Markets

Wall Street closed higher yesterday: The Dow Jones Industrial Average closed 0.1 per cent higher at 27,678, the S&P 500 gained 0.2 per cent to 3117 and the NASDAQ added 0.1 per cent to 8571.

European markets closed mixed: London’s FTSE lost 0.7 per cent, Paris added 0.03 per cent and Frankfurt lost 0.7 per cent.

Asian markets closed higher: Tokyo’s Nikkei added 0.7 per cent, Hong Kong’s Hang Seng gained 0.6 per cent and China’s Shanghai Composite closed 0.7 per cent higher.

Taking all of this into equation, the SPI futures are pointing to a 0.1 per cent gain.

Yesterday, the Australian share market closed 77 points or 1.2 per cent higher at 6683.

Company news 

Northern Star Resources (ASX:NST) has completed the takeover of Echo Resources (ASX:EAR). At close of the takeover offer period on 11 November 2019, Northern Star had a relevant interest in 98.14 per cent of Echo shares. Following completion of the compulsory acquisition process, Northern Star now has a relevant interest in 100 per cent of Echo shares. Shares in Northern Star Resources (ASX:NST) closed 0.2 per cent higher at $9.80 yesterday.

Ex-Dividends

Fisher & Paykel H. (ASX:FPH) is paying 11.36 cents unfranked
Gentrack Group Ltd (ASX:GTK) is paying 2.84 cents 8.5 per cent franked

Currencies

One Australian Dollar at 8:30 AM was buying 68.35 US cents, 51.94 Pence Sterling, 74.35 Yen and 61.56 Euro cents.

Commodities

Iron Ore has dropped 0.5 per cent to US$88.65.
Iron Ore futures suggest a 0.6 per cent fall.
Gold has gained $0.40 to US$1481 an ounce.
Silver has added $0.10 to US$17.02 an ounce.
Oil has fallen $0.02 to US$58.41 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.