AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
The Australian share market is expected to rise on the last week of the trading session.
The latest ASX Futures indicate that the benchmark ASX 200 index would open 45 points or 0.65% higher.
The Dow Jones jumped 1%, the S&P 500 surged 1.2%, and the NASDAQ ended 1.1% higher.
The Australian share market is expected to rise on the last week of the trading session, tracking strong cues from Wall Street which jumped to a seven-week high despite weak gross domestic product (GDP) data in the US. The contraction in the US economy has raised hopes among investors about a less hawkish US Federal Reserve. On the other hand, domestic mining and energy shares are expected to climb on robust commodity prices.
The latest ASX Futures indicate that the benchmark ASX 200 index would open 45 points or 0.65% higher on Friday. On Thursday, the ASX 200 rose 1% to 6,889.7 points.
US economy contracted from April to June to fall for a second straight quarter. The second quarter GDP of US fell at a 0.9% annualised rate, higher than the expectations of economists and first-quarter contraction of 1.6%. In the US, the Dow Jones jumped 1%, the S&P 500 surged 1.2%, and the NASDAQ ended 1.1% higher.
In Europe, the Stoxx 50 rose 1.2%, the FTSE was flat, the DAX surged 0.8%, and the CAC ended 1.3% higher.
Bond yields
On Thursday, bond yields declined following the release of US GDP growth data. The two-year Treasury yields fell further on Thursday after dipping under 3% on Wednesday. Benchmark 10-year notes’ yield last fell to 2.6723%, from 2.732% late on Wednesday. The yield on 30-year bond last dipped to 3.0219%, from 3.002%.
Oil prices remain mixed
On Thursday, oil prices remained mixed as recession concerns weighed on prices. Traders were also concerned after the International Monetary Fund (IMF) said that if Russia completely cuts off supplies by year-end, the region could face zero economic growth in 2023.
- WTI closed at US$96.42 per barrel, down 0.86%.
- Brent crude settled up 0.49% at US$107.14.
Gold prices inch higher
Gold prices rose on concerns over the state of US economy.
- Spot gold added 1.3% to US$1,756.59 an ounce.
Meanwhile, iron ore futures hit four-week highs on Thursday, extending their rally to a fifth session.
