Wall St advances: Aus shares to open in the green

Market Reports

by Kathy Skantzos

US markets closed on a positive foot overnight as the S&P 500 approached a near all-time high, and the Australian share market looks set to open in the green today despite closing in the red yesterday. On Wall Street, major tech stocks advanced, all up more than 1.5 per cent and US bond yields rose. Regulatory approvals for a Covid vaccine seem to be boosting market sentiment.

On the commodities front, gold has lost its record highs, falling more than 10 per cent.

The SPI is pointing to a 0.7 per cent gain today.

Yesterday, the Australian share market closed 0.1 per cent lower at 6132.

Local economic news

The ABS will release unemployment figures and average weekly earnings today. We’ve seen the slowest wage growth in more than two decades with dismal consumer confidence and a lower wage price index. Employment is expected to rise by about 50,000 and the unemployment rate should lift.

Figures from around the globe

Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 1.1 per cent to 27,977 the S&P 500 added 1.4 per cent to 3380 and the NASDAQ closed 2.1 per cent higher at 11,012.

European markets closed higher, London’s FTSE added 2 per cent, Paris gained 0.9 per cent and Frankfurt closed 0.9 per cent higher.

Asian markets closed mixed, Tokyo’s Nikkei gained 0.4 per cent, Hong Kong’s Hang Seng added 1.4 per cent and China’s Shanghai Composite closed 0.6 per cent lower.

Company news

Seek (ASX:SEK) reported a full-year loss of $111 million and EBITDA declined 9 per cent, these results impacted by the current Covid environment. Shares in Seek (ASX:SEK) dropped yesterday, closing 8.63 per cent lower at $19.58.

Currencies

One Australian Dollar at 7:40 AM was buying 71.62 US cents, 54.97 Pence Sterling, 76.55 Yen and 60.80 Euro cents.

Commodities

Iron Ore gained 0.3 per cent to US$121.51.
Iron Ore futures suggest a 0.06 per cent gain.

Gold has dropped $19.20 to US$1927 an ounce.
Silver was down $0.44 to US$25.61 an ounce.
Oil was up $0.95 to US$42.56 a barrel.