AUS
NZ
UK
CA
USA
IND
Highlights
The Australian shares are expected to open higher on Tuesday.
According to the latest SPI futures, the ASX 200 is likely to open 25 points or 0.35% higher.
On Wall Street, the Dow Jones rose 0.27%, the S&P 500 was up 0.71%, and the NASDAQ ended 1.31% higher.
The Australian shares are expected to open higher on Tuesday after upbeat closing on Wall Street. The domestic market is likely to be helped by gains in mining and financial equities, while a decline in oil and gold prices could cap gains on the ASX 200.
According to the latest SPI futures, the ASX 200 is likely to open 25 points or 0.35% higher. On Monday, the benchmark index rose 0.1% to 7,412.4 points.
Meanwhile, a few ASX-listed firms such as steel manufacturer BlueScope Steel Ltd and gold mining giant Northern Star Resources Ltd would be paying their latest dividends to their shareholders today.
World stock markets cast aside fears of rising interest rates on Monday with the tech heavy NASDAQ index rallying 1.3%, even as parts of the Treasury yield curve signaled recession risks while oil prices tumbled on fears of weaker Chinese demand.
On Wall Street, the Dow Jones rose 0.27%, the S&P 500 was up 0.71%, and the NASDAQ ended 1.31% higher.
In Europe, the Stoxx 50 rose 0.5%, the FTSE, fell 0.1%, the CAC surged 0.5%, and the DAX ended 0.8% higher.
But the buoyancy in stocks was foreshadowed by several signs and analyst warnings that it may not last, as global interest rates will likely climb higher this year and could drag on economic growth.
A lockdown in China's financial hub of Shanghai to contain surging COVID-19 cases, on the other hand, weighed on Chinese shares and dragged on oil prices, as investors anticipated weaker demand from the world's second largest economy.
<iframe width="853" height="480" src="https://www.youtube.com/embed/7KFBzCfnPFc" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe>
Bond yields
- 2-year yield: US 2.33% Australia, 1.76% (US prices as of 4.16 PM in New York)
- 5-year yield: US 2.55%, Australia 2.67%
- 10-year yield: US 2.45%, Australia 2.90%, Germany 0.57%
Oil prices fall
Crude oil prices fell after lockdowns in Shanghai triggered demand fears.
- WTI crude fell a massive 9.14% to US$103.49 per barrel.
- Brent crude declined 9.1% to US$109.70.
Gold prices inch lower
A strong US dollar and higher bond yields put pressure on the safe haven asset.
- Gold softened to US$1,931 an ounce, down about 1.35%.
Meanwhile, Bitcoin surged as much as 4.6 at one point Monday, reaching $US48,215 before fluctuating around that level.
RELATED ARTICLE: US stocks close higher on gains from Tesla (TSLA); energy, financial stocks retreat
RELATED ARTICLE: Why is DESO crypto rising today?
RELATED ARTICLE: When was the last housing market crash in Australia?
