Stocks set to rise after offshore gains – Daily Outlook
Australian Share Market Daily Outlook
September 6, 2010 – 8:27am
The Australian share market has received strong, positive leads as overseas markets continued to post gains in Friday trade.
Saturday morning trade on the Sydney Futures Exchange points to a likely jump on the share market at opening, with the September share price index contract trading 50 points higher at 4587.
Quick facts
- The SPI was up 50 points to 4587.
- US, the S&P500 rose 14.41 points on Friday to 1104.51
- Europe, the FTSE 100 rose 57.11 points on Friday to 5428.15
- Gold fell $US2.30 an ounce to $US1,251.10
- Oil fell $US0.42 a barrel to $US74.60
- The Australian dollar was buying 91.59 US cents
In Australian trade on Friday, the share market closed higher for a third straight session. The benchmark S&P/ASX200 index finished up 8.5 points, or 0.19%, to 4541.2, while the broader All Ordinaries index gained 14.6 points, or 0.32%, to 4577.6.
In overseas markets US stocks continued to rise after much anticipated jobs data lifted hopes that the US economic recovery is on the right track. The Labor Department reported the economy lost 54,000 jobs last month, a better result than the 120,000 losses expected by economists. The unemployment rate climbed to 9.6%, its highest level since May. The private sector added 67,000 jobs for the month, a much better than expected result.
The Dow Jones Industrial Average climbed 127.83 points, or 1.24, to end the week at 10,447.93. The Standard & Poor’s 500 index closed up 14.41 points, or 1.32%, to 1104.51. The Nasdaq composite index rose 33.74 points, or 1.53%, to 2233.75.
US markets will be closed tonight, Australian time, for the Labor Day public holiday.
European stock markets also rose on Friday, boosted by the positive US jobs report.
The London FTSE 100 index rose 57.11 points, or 1.06%, to close the week at 5428.15. The German DAX added 50.77 points, or 0.83%, to 6134.62. The French CAC 40 rose 40.77 points, or 1.12%, to 3672.2.