Australian Market Set To Open Higher
March 5th, 2010 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10,444.14 | 47.38 | 0.5% |
| NASDAQ | 2,292.31 | 11.63 | 0.5% |
| S P 500 | 1,122.97 | 4.18 | 0.4% |
| FTSE 100 | 5,527.16 | -6.05 | -0.1% |
| Nikkei 225 | 10,145.72 | -107.42 | -1.0% |
| ASX 200 | 4,756.60 | 6.1 | 0.1% |
| COMEX Gold - Dec 09 | 1,133.70 | -9.6 | -0.8% |
| COMEX Silver - Sep 09 | 17.23 | -0.099 | -0.6% |
| COMEX Copper - Sep 09 | 337.6 | -5.9 | -1.7% |
| WTI Spot | 80.43 | -0.26 | -0.3% |
| AUD-USD | 0.9003 | -0.005 | -0.6% |
| Aluminium | 2,132.50 | 24.5 | 1.2% |
| Copper | 7,483.50 | 124.5 | 1.7% |
| Lead | 2,201.00 | 51 | 2.4% |
| Nickel | 22,555.00 | 1050 | 4.9% |
| Tin | 17,200.00 | 225 | 1.3% |
| Zinc | 2,247.50 | 50.5 | 2.3% |
The Australian share market is expected to open higher with Wall Street fighting to post modest gains amid negative home sales data and positive news on retail sales and unemployment benefits.
The US Labour Department said the number of Americans filing new claims for unemployment fell to 469,000 last week from 498,000 the previous week. While continuing claims, a measure of Americans who have been receiving benefits for a week or more, fell to 4.5 million from 4.634 million last week.
The Dow Jones Industrial Average rose 47 points to 10,444 points. The S&P500 Index closed up 4 points to 1,123 and the NASDAQ added 12 at 2,292.
Company News
WBC
Westpac plans to tap into the expatriate banking market by reopening a branch for retail customers in London. The bank has had a presence in the City since 1853 but in recent years has reduced its retail network to focus mainly on corporate clients. Westpac says a new cashless retail branch will open in early 2011 in the heart of London's financial district. The aim of the new branch is to help expat Australian and New Zealand customers manage their finances as well as open bank accounts for those planning to move down under. Looking at net profit results, Westpac’s 2009 net profit result was just over $3.4 billion.
BHP
After a long period of devastating rains, BHP Billiton says it expects to be back on schedule with coal shipments, from its mines in Queensland’s Bowen Basin, by the end of the quarter. Heavy rains in the region, which is known as the world’s premier source of coking coal, have flooded towns and caused an estimated $135 million worth of damage. Coal shipments have been suspended due to rail networks and ports being affected. It’s not yet known exactly how many shipments have been delayed but one estimate puts the amount of coal lost at about 10 million tonnes. The heavy rains have also raised expectations that the contract price for coking coal, which is used in steel making, will rise substantially from the 1st of April. BHP Billiton’s 2009 net profit result was just over $7.2 billion.
Recap of the past 12 months
March 2009 saw the Australian market trade at 53.9% lower than it’s high set in November 2007. As the threat of economic depression subsided the market has recovered. Twelve months on, the market is now trading up almost 51%. Most recently, in January, the ASX 200 threatened to break through the 5000 point barrier but concerns over sovereign debt levels, namely in Europe, tempered the mood (for now). The market is now trading around the 4600 – 4700 points level with the verdict still out as to whether it is preparing for another charge. Regardless it is import for clients to continue to sell calls over their holdings as the market trades in a sideways range.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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