Treasurer to hand down Federal Budget today: ASX set to open higher


The Australian share market looks set to open higher this morning as investors anxiously await the Federal Budget due later today. Although the market moved yesterday, trading volumes were light because of public holidays in New South Wales, ACT, South Australia and Queensland. Over in the US, Wall Street rallied overnight in hopes of a new stimulus package. President Donald Trump will be discharged from hospital where he is being treated for Covid-19.

Local Economic News

Treasurer Josh Frydenberg will hand down the 2020-21 Federal Budget.

ABS
International Trade in Goods and Services, Australia

Markets

Wall Street closed higher yesterday: The Dow Jones Industrial Average gained 1.7 per cent to 28,149 the S&P 500 added 1.8 per cent to 3409 and the NASDAQ closed 2.3 per cent higher at 11,332.

European markets closed higher, London’s FTSE added 0.7 per cent, Paris added almost 1 per cent and Frankfurt closed 1.1 per cent higher.

In Asian markets, Tokyo’s Nikkei closed 1.2 per cent higher, Hong Kong’s Hang Seng gained 1.3 per cent and China’s Shanghai Composite was closed.

Taking all of this into equation, the SPI futures are pointing to 0.4 per cent gain.

Yesterday, the Australian share market closed 2.6 per cent higher at 5942.

Company news

Air New Zealand’s (ASX:AIZ) Chief Financial Officer, Jeff McDowall, has confirmed that he intends to leave the airline toward the middle of 2021 after the completion of the planned capital raise. A global search for a successor will start shortly. Also, the airline, has appointed Leanne Geraghty to the newly created position of Chief Customer and Sales Officer. Ms Geraghty is one of the airline's most experienced global leaders and will report directly to Chief Executive Officer Greg Foran. Shares in Air New Zealand (ASX:AIZ) closed 6.11 per cent higher at $1.39 yesterday.

Ex-Dividends

Reece Limited (ASX:REH) is paying 6 cents fully franked

Currencies

One Australian Dollar at 7:50 AM was buying 71.83 US cents, 55.34 Pence Sterling, 75.96 Yen and 60.97 Euro cents.

Commodities

Gold has gained $11 to US$1919 an ounce.
Silver was up $0.48 to US$24.51 an ounce.
Oil was up $2.37 to US$39.42 a barrel.