The Aussie market is set to start on a mildly positive note this morning, after Wall Street posted solid gains overnight following a big jump in US existing-home sales and a mixed bag of earnings reports from Boeing, McDonald’s and others.
The June SPI futures contract is up 11 points at 5,835.
In local economic news today, the Commonwealth Bank’s Business Sales Indicator for March is due out, as is the National Australia Bank’s quarterly business survey.
Meanwhile, chair of the Competition Policy Review Panel Ian Harper and ACCC chairman Rod Sims are slated to speak at a CEDA event in Brisbane.
CEDA NSW Property Market Outlook includes a speech from Stockland CEO david Knox.
In equities news, Newcrest, BC Iron and Sandfire Resources March are expected to release quarterly results, Australian Pharmaceutical Industries post half year results, while Telstra has an investor day.
Mitsui Co Australia’s chief executive Yasushi Takahashi is scheduled to speak at a Melbourne Mining Club lunch.
– SPI futures up 11pts to 5835
– AUD at 77.59 US cents, 93.09 Japanese yen, 72.37 Euro cents and 51.62 British pence
– On Wall St, S&P500 +0.5%, Dow +0.5%, Nasdaq +0.4%
– In Europe, Stoxx 50 +0.1%, FTSE -0.5%, CAC +0.4%, DAX -0.6%
– Iron ore surges 5.9% to $US54.04 per tonne
– Spot gold down $US15.24, or 1.3% to $US1187.17 an ounce
– Brent crude up 80 US cents, or 1.3% to $US62.88 a barrel
What’s on today
Australia NAB quarterly business confidence; US new home sales, unemployment claims; flash manufacturing PMI for US, France, Germany, Japan and China
Stocks to watch
RBC Capital Markets has an “outperform” on Oil Search and a price target at $9.50 a share after it reported broadly an in-line 1Q15 outcome with marginally softer production offset by stronger-than-expected realised prices.
Deutsche Bank has a “buy” on Aristocrat Leisure and a target price of $9.70 a share. “We view Aristocrat’s exit from Japan to be a minor positive for the company, albeit largely anticipated by the market.”
Macquarie Wealth Management says: “We continue to see value in Australian domestic gold producers. Quarterly results released to date has confirmed the strong cash flow generation of the Australian producers like EVN.”