Markets recover after chaotic Presidential debate: ASX poised for a rebound


The Australian share market looks set to rebound morning as Wall Street rose on hopes of a new stimulus. Gold edged down yesterday as a chaotic first US presidential debate drove investors to the safety of the dollar. UK GDP shrank by 19.8 per cent in the three months to June, slightly less than the initial estimate of a quarterly 20.4 per cent crash. China and the US saw some strong economic data. China's official manufacturing Purchasing Manager's Index came in higher in September compared to August and US private payrolls increased.

Local Economic News

The Australian Bureau of statistics will release results of the quarterly Job Vacancies Survey containing estimates of job vacancies classified by industry, sector and state/territory.

Markets 

Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 1.2 per cent to 27,782 the S&P 500 added 0.8 per cent to 3363 and the NASDAQ closed 0.7 per cent higher at 11,168.

European markets closed lower, London’s FTSE fell 0.5 per cent, Paris lost 0.6 per cent and Frankfurt closed 0.5 per cent lower.

Asian markets closed mixed, Tokyo’s Nikkei fell 1.5 per cent, Hong Kong’s Hang Seng gained 0.8 per cent and China’s Shanghai Composite closed 0.2 per cent lower.

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

Yesterday, the Australian share market closed 2.3 per cent lower at 5816.

Company news

Business travel management company Serko (ASX:SKO) is conducting an equity raising of up to NZ$55 million to accelerate and execute on the opportunities arising from a changing business travel market. Serko plans to raise the capital via the issuance of ordinary shares in Serko by way of a NZ$45 million fully underwritten placement and a NZ$10 million non-underwritten share purchase plan. CEO Darrin Grafton says new demand has exceeded their expectations and is highlighting increased opportunities from a changing travel industry. when business travel normalises and to capitalise on opportunities arising from changes to the travel industry. Shares in Serko (ASX:SKO) closed 0.48 per cent higher at $4.17 yesterday.

Ex-dividends

BSA Limited (ASX:BSA) is paying 0.5 cents fully franked
Imperial Pacific Ltd (ASX:IPC) is paying 6.25 cents fully franked
London City Equ. Ltd (ASX:LCE) is paying 1.375 cents fully franked
NB Global Corporate Income Trust (ASX:NBI) is paying 0.6963 cents unfranked
XRF Scientific (ASX:XRF) is paying 1.4 cents fully franked

Currencies

One Australian Dollar at 7:55 AM was buying 71.65 US cents, 55.46 Pence Sterling, 75.53 Yen and 61.11 Euro cents.

Commodities

Iron Ore has added 5 per cent to US$123.47.
Iron Ore futures suggest 4.99 per cent gain.
Gold has lost $7.70 to US$1896 an ounce.
Silver was down $0.95 to US$23.49 an ounce.
Oil was up $0.93 to US$40.22 a barrel.