WHO says 'too early' to declare a global health emergency: ASX poised to open higher

Market Reports

by Rachael Jones

Following positive leads from US markets, the Australian share market looks set to open higher this morning despite more people infected by the virus in China that’s rocked the markets. The World Health Organisation says it is “a bit too early” to declare a new coronavirus a global health emergency as China put millions in lockdown amid an outbreak that has killed 18. China’s Shanghai Composite Index dropped on the last trading day before the Lunar New Year holiday, the biggest drop in eight months, as traders considered the virus’s potential impact on travel and shopping. The NASDAQ moved to a record high as big tech companies made gains. On the commodities front, oil has dropped and gold has gained.

Markets

Wall Street closed mixed yesterday: The Dow Jones Industrial Average lost 0.1 per cent to close at 29,160, the S&P 500 added 0.1 per cent to close at 3,326 and the NASDAQ rose 0.2 per cent to close at 9,402.

European markets closed lower: London’s FTSE lost 0.9 per cent, Paris lost 0.7 per cent and Frankfurt dipped 0.9 per cent.

Asian markets closed lower : Tokyo’s Nikkei lost 1 per cent, Hong Kong’s Hang Seng lost 1.5 per cent, and China’s Shanghai Composite lost 2.8 per cent.

Taking all of this into equation, the ASX futures are pointing to a 21 points gain. Yesterday the Australian share market closed 45 lower with the S&P/ASX 200 Index closing at 7,088.

Company news

Nuheara (ASX:NUH) has executed an agreement for a 24-month $2.5 million funding with the Lind Global Macro Fund, LP, an entity managed by The Lind Partners, a New York-based institutional fund manager. The proceeds will be used, along with Nuheara’s current cash, to fund the mass production and marketing of the recently released IQbuds2 MAX and working capital requirements. Shares in Nuheara (ASX:NUH) closed 3 per cent lower yesterday at $0.03.

Ex-dividends

Katana Capital (ASX:KAT) paying 0.75 cents fully franked.

Currencies

One Australian Dollar at 9:00AM was buying 68.47 US cents, 52.20 Pence Sterling, 74.97 Yen and 61.94 Euro cents.

Commodities

Iron Ore price saw a 3.4 per cent fall to $93.44
It’s futures point to a fall of 2.3 per cent
Gold has gained $5.60 to US$1,569 an ounce.
Silver has lost $0.04 to US$17.79 an ounce.
Oil has fallen by $1.05 to US$55.69 a barrel.