The Australian Market Looks Set To Open Strong
March 2nd, 2010 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10,403.79 | 78.53 | 0.8% |
| NASDAQ | 2,273.57 | 35.31 | 1.6% |
| S P 500 | 1,115.71 | 11.22 | 1.0% |
| FTSE 100 | 5,405.94 | 51.42 | 1.0% |
| Nikkei 225 | 10,172.06 | 46.03 | 0.5% |
| ASX 200 | 4,697.00 | 10.5 | 0.2% |
| COMEX Gold - Dec 09 | 1,118.30 | -0.6 | -0.1% |
| COMEX Silver - Sep 09 | 16.449 | -0.051 | -0.3% |
| COMEX Copper - Sep 09 | 334.15 | 7.3 | 2.2% |
| WTI Spot | 78.88 | -1.23 | -1.5% |
| AUD-USD | 0.901 | 0.0048 | 0.5% |
| Aluminium | 2,050.50 | -12 | -0.6% |
| Copper | 7,072.00 | 26 | 0.4% |
| Lead | 2,138.50 | -11.5 | -0.5% |
| Nickel | 20,495.00 | 220 | 1.1% |
| Tin | 16,675.00 | -155 | -0.9% |
| Zinc | 2,157.50 | 9 | 0.4% |
The Australian share market is likely to open stronger this morning following positive leads from US and European markets overnight. The Nasdaq and S&P 500 pushed back into positive territory for the year, as investors welcomed AIG's $35 billion asset sale and a pair of mergers in the pharmaceutical sector. Signs that a Greek bailout package is in the works also came into play.
Copper rallied following on from the weekend’s earthquake in Chile, which is the world’s largest producer of the metal. Traders rushed to cover bearish bets, though most market commentators expect little near-term disruption to Chile’s mining industry. The knee-jerk reaction by investors pushed copper futures up 2%.
Australian investor focus today will be on the RBA’s interest rate decision this afternoon. The consensus amongst commentators is that the board will raise the cash rate by 25 basis points. The Australian economy is emerging from the global fallout in better condition than almost any other country. Many economists believe the RBA, armed with the latest batch of data - notably unemployment rate at 5.3% and company profits up 2.2% in the December quarter - has justification for monetary tightening. However, the outlook still remains uncertain for our European/ American peers.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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