US stimulus looms: Aus shares to open higher
Following positive leads from US markets with Wall Street closing higher, the Australian share market looks set to open in the green this morning.
Market sentiment was boosted on the back of a looming US government stimulus package proposed to help recover from the impact of coronavirus. Moderna, the pharmaceutical company working on a Covid-19 vaccine, saw a boost in shares after indicating the vaccine may be ready by the end of the year.
Tech stocks led the lift in the market, with Apple, Amazon, Facebook and Alphabet all due to report earnings this week.
On the commodities front, gold hit a record, while the dollar felt a pinch with the Covid spread.
Local economic news:
Weekly Jobs and Wages figures for the week will be released from Single Touch Payroll data. With the impact Covid-19 is having in Victoria, it is not likely there will be much of a recovery yet.
Weekly consumer confidence and CBA household card spending for the week ending 24 July will be released. Spending rose last week despite the effects of Covid-19 in in some parts of the country.
Figures from around the globe:
Wall Street closed higher yesterday: The Dow Jones Industrial Average added 0.4 per cent to 26,585, the S&P 500 gained 0.7 per cent to 3239 and the NASDAQ closed 1.7 per cent higher at 10,536.
European markets closed mixed, London’s FTSE lost 0.3 per cent, Paris fell 0.3 per cent and Frankfurt closed flat.
Asian markets closed mixed, Tokyo’s Nikkei fell 0.2 per cent, Hong Kong’s Hang Seng lost 0.4 and China’s Shanghai Composite closed 0.3 per cent higher.
The SPI futures are pointing to a 0.5 per cent gain.
Yesterday, the Australian share market closed 0.3 per cent higher at 6044.
Company news:
Genesis Energy (ASX:GNE) released its Q4 FY2020 performance report, announcing demand fell during lockdown, however volumes rebounded as demand strengthened in May and June 2020 and wholesale prices firmed. Shares in Genesis Energy (ASX:GNE) closed 2.55 per cent lower at $2.68 yesterday.
Currencies:
One Australian Dollar at 7:30 AM was buying 71.49 US cents, 55.48 Pence Sterling, 75.37 Yen and 60.85 Euro cents.
Commodities:
Iron Ore lost 1.6 per cent to US$107.68.
Iron Ore futures suggest a 0.5 per cent fall.
Gold has added $35 to US$1960 an ounce.
Silver was up $1.78 to US$24.63 an ounce.
Oil was up $0.36 to US$41.65 a barrel.
Copyright 2020 – Finance News Network
Source: Finance News Network
