US tech rally bolsters ASX: Aus shares set to rise

Market Reports

by Katrina Bullock

The Australian share market looks set to shake off weak US jobs data to rise at the open, boosted by strong performances from US tech stocks. Figures released overnight show that the number of Americans who filed a claim for unemployment last week rose unexpectedly to approx. 1.4 million. This comes after four months of falls. In Australia, at today’s national cabinet meeting, the Morrison government will attempt to push the states to agree to nationally consistent rules governing interstate travel.

Local economic news

We are expecting the Australian Bureau of Statistics to release retail trade figures for the month of July today.


Wall Street closed higher yesterday: The Dow Jones Industrial Average added 0.2 per cent to 27,740 the S&P 500 gained 0.3 per cent to 3386 and the NASDAQ closed 1.1 per cent higher at 11,265.

European markets closed lower, London’s FTSE fell 1.6 per cent, Paris was down 1.3 per cent and Frankfurt closed 1.1 per cent lower.

Asian markets closed lower, Tokyo’s Nikkei fell 1 per cent, Hong Kong’s Hang Seng dropped 1.5 per cent and China’s Shanghai Composite closed 1.3 per cent lower.

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

Yesterday, the Australian share market closed 0.8 per cent lower at 6120.

Company news

Coles Group (ASX:COL) announced that its wholly owned subsidiary, Coles Group Treasury has re-entered the Australian debt capital markets. It ihas priced $450 million worth of medium term notes - $300 million worth of 10 year fixed rate notes and $150 million worth of five year floating rate notes. Provided the usual conditions precedent are met, settlement of the notes will occur on the 27th of August 2020. Shares is Coles Group (ASX:COL) closed 0.47 per cent lower at $18.86 yesterday.

Bruce Teele is stepping down as Chairman of the Board of investment company AMCIL (ASX:AMH) at the upcoming AGM on 8 October 2020. He will hand the baton over to Rupert Myer AO. Mr Teele has been a Director of the Company for over 17 years having become a
director in 2003 and appointed Chairman in 2004. Shares in AMCIL (ASX:AMH) closed 1.03 per cent lower at $0.96 yesterday.

Reporting season continues, with a number of companies set to report their financial results today, including Mayne Pharma Group (ASX:MYX), Redbubble (ASX:RBL), Healius (ASX:HLS), Suncorp Group (ASX:SUN) and TPG Telecom (ASX:TPG).


One Australian Dollar at 6:50 AM was buying 71.96 US cents, 54.45 Pence Sterling, 76.12 Yen and 60.67 Euro cents.


Iron Ore gained 0.2 per cent to US$129.32.
Iron Ore futures suggest a 0.6 per cent fall.
Gold has dropped $13.80 to US$1957 an ounce.
Silver was up $0.05 to US$27.54 an ounce.
Oil was down $0.35 to US$42.58 a barrel.

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