Stocks to rise as outlook continues to brighten – Daily Outlook
Australian Share Market Daily Outlook
September 10, 2010 – 8:13am
The Australian share market has received mixed leads from offshore markets, with Wall Street and European indices rising on strengthening US economic data, but oil and gold prices fell.
Morning trade on the Sydney Futures Exchange points to likely gains on the share market at opening, with the September share price index contract trading 19 points higher at 4601.
Quick facts
- The SPI up 19 point to 4601.
- The Reuters Jefferies CRB Index fell 0.39%
- US, the S&P500 rose 5.31 points to 1104.18
- Europe, the FTSE 100 rose 64.42 points to 5494.16
- Gold fell $US6.60 an ounce to $US1,250.90
- Oil was down $US0.42 a barrel to $US74.25
- The Australian dollar was buying 92.35 US cents
In Australian trade yesterday the market closed higher after strong employment figures and a better performance in offshore markets. The Benchmark S&P/ASX200 index closed up 45 points, or 0.99%, to 4582.2. The broader All Ordinaries index rose 43 points, or 0.94%, to 4621.3.
In overseas markets, US stocks closed higher extending their September rally following more encouraging news on the job market and in trade. The Labor Department says first-time claims for unemployment benefits fell last week to the lowest level in two months. In more positive news, the trade deficit narrowed in July.
The Dow Jones Industrial Average closed up 28.23 points, or 0.27%, at 10,415.24. The broader S&P500 index closed up 5.31 points, or 0.48%, at 1104.18. The Nasdaq composite closed up 7.33 points, or 0.33%, at 2236.20 points.
European stock markets rose as investors were buoyed by the US economic data showing the number of US jobless claims dropped faster than expected and the US trade deficit narrowed sharply.
The London FTSE index added 64.42 points, or 1.19%, to 5494.16. The German DAX 30 climbed 57.08 points, or 0.93%, to 6221.52. The French CAC 40 rose 44.94 points, or 1.22%, to 3722.15.