The Australian share market may open higher today, after a positive finish on Wall St. US stocks rallied following a better-than-expected report on home sales, encouraging investors.
On Tuesday, the Dow Jones Industrial Average closed 101 points higher at 10,525. The S&P 500 Index gained 12 points at 1,115 and the NASDAQ is up 27 points at 2,296.
European stocks were lower: London’s FTSE up 39 points, Paris is up 29 and Frankfurt up 28.
To Asian markets: Hong Kong’s Hang Seng up 25 points, Tokyo’s Nikkei up 73 and China’s Shanghai Composite up 17.
The Australian share market finished stronger on Monday. The S&P/ASX 200 Index closed 28 points higher at 4,486 and on the futures market the SPI200 is up 26 points. Turning to currencies and the Aussie Dollar at 7:40AM was buying 90.33 US cents, 58.34 Pence Sterling, 78.56 Yen and 69.53 Euro cents.
In local economic news: The Housing Industry Association is today expected to release the trades report for the June quarter.
In business news: Shares in GUD Holdings Ltd (ASX:GUD) up 3.3% to $9.08 on Monday. GUD Holdings has announced a record $46.4 million net profit after tax for the year ended 30 June 2010, a 33% increase from the previous financial year. The company says growth was fuelled by initiatives taken at the outset of the global financial crisis and a stronger Australian dollar. GUD Holdings also attributes its kitchen appliances brand Sunbeam, a sponsor of the highly successful MasterChef television program, for driving sales growth in the kitchen categories. GUD Holdings posted a profit of $34.8 million for the year ending 30 June 2009.
Shares in Elders Ltd (ASX:ELD) are 3.41% higher to $0.455 on Monday. Australian Agricultural Company Ltd (ASC:AAC) has announced that they have settled legal proceedings with Elders. Under the settlement Elders will pay cash and supplies merchandise to a total of $4 million to the Australian Agricultural Company. Proceedings were instigated against Elders due to liability regarding nutritional supplements that Elders supplied, with advice to Australian Agricultural Company. Elders posted a loss of $466.43 for the year ending 30 September 2009.
Turning to ex-dividends: While no companies are going ex-dividend today, coming up tomorrow is BT Investment Management Ltd.
To commodities, and the price of gold fell $4.70 to US$1,183 an ounce for the July contract on Comex. Silver is up $0.10 cents to US$18.20 and copper is up $0.04 at $3.22 a pound.
The price of oil is flat at $78.98 a barrel for August light crude in New York.
