Wall Street see positive start to the week: ASX set to open higher

Market Reports

by Rachael Jones

Wall Street saw a positive start to the week and we can now expect to see the Australian Share market open higher. Gold lifted overnight as investors sought safe haven from the economic impact of the coronavirus. Oil fell to the lowest since January 2019 on weaker Chinese demand. Looking ahead at today’s scheduled results: we can expect to see Beach Energy (ASX:BPT), Challenger (ASX:CGF), Suncorp Group (ASX:SUN) and Transurban (ASX:TCL).

Local economic news 

The Australian Bureau of Statistics will release figures for Lending Indicators, for December 2019.

Markets 

Wall Street closed higher yesterday: The Dow Jones Industrial Average closed 0.6 per cent higher at 29,277, the S&P 500 gained 0.7 per cent to 3352 and the NASDAQ added 1.1 per cent to 9628.

European markets closed lower: London’s FTSE fell 0.3 per cent, Paris dipped 0.2 per cent and Frankfurt was down 0.2 per cent.

Asian markets closed mixed: Tokyo’s Nikkei fell 0.6 per cent, Hong Kong’s Hang Seng dropped 0.6 per cent and China’s Shanghai Composite rose 0.5 per cent.

Taking all of this into equation, the SPI futures are pointing to a 44 points gain.

Yesterday, the Australian share market closed 0.1 per cent lower at 7013.

Company news 

Moelis Australia (ASX:MOE) yesterday settled on the purchase of the Beach Hotel, Byron Bay for $104 million. They exchanged contracts on the 29th November 2019. Shortly after contracting, Moelis Australia offered its existing clients a priority opportunity to invest in the Fund. Demand from investors resulted in the raising for the Fund closing early, fully subscribed. Moelis Australia Hotel Management, Moelis Australia’s specialist hospitality team, has now taken over operating the venue on a day to day basis. Shares in Moelis Australia (ASX:MOE) closed 1.36 per cent lower $5.82 yesterday.

Currencies

One Australian Dollar at 8:35 AM was buying 66.85 US cents, 51.79 Pence Sterling, 73.38 Yen and 61.28 Euro cents.

Commodities

Iron Ore has dropped 0.8 per cent to $82.88.
Iron Ore futures suggest a 0.6 per cent fall.
Gold has added $3.00 to US$1576 an ounce.
Silver has gained $0.07 to US$17.76 an ounce.
Oil was down $0.71 to US$49.61 a barrel.