[cpsnewswire] [ASX, Overnight Morning Update, July 21, 2010]

Strong leads signal stock surge

 

July 21 (AAP) The Australian stock market has received a positive lead from offshore markets, after Wall Street closed higher and commodities prices ended firmer.

 

This morning on the Sydney Futures Exchange, the September share price index contract was 41 points higher at 4423 points, with 3595 contracts traded. Yesterday, the major indices each finished about 1 per cent higher.

 

What you need to know:

 

·         The SPI was up 41 points at 4423

·         The Australian dollar was buying 88.38 US cents

·         In the US, the S&P500 rose 12.23 points to 1083.48

·         In Europe, the FTSE 100 slipped 8.82 points to 5139.46

·         Gold rose $US9.80 an ounce to $US1191.70

·         Oil was up 90 US cents a barrel at $US77.44

·         The Reuters Jefferies CRB index rose 0.12%

·         Stocks to watch: possible market movers

 

What's out today

…

BHP Billiton releases its June quarter production report, while Woolworths publishes its fourth-quarter sales result. Read a preview here.

…

In the news this morning

 

And overseas, Apple reported a 78 per cent surge in quarterly profit, but search engine Yahoo! missed analysts' estimates.

…

How we fared yesterday

 

In Australia, the share market closed higher, boosted by some positive commentary from Australia's central bank and a lift in the Shanghai bourse.

 

The benchmark S&P/ASX200 index gained 45.3 points, or 1.04 per cent, to 4403.6 points, while the broader All Ordinaries rose 46 points, or 1.05 per cent, to 4418.7 points.

 

Offshore overnight

 

US stock markets rose for a second straight day, reversing early losses to finish higher after another erratic day of trade.

…

Stocks fell early on disappointment over revenue at IBM, Johnson & Johnson and Goldman Sachs, but drifted higher in afternoon trading on speculation the US Federal Reserve would step in and provide additional stimulus to the US economy.

 

Federal Reserve chairman Ben Bernanke was due to speak before the US Senate Banking Committee on Wednesday US time.

 

The Dow Jones industrial average closed up 75.53, or 0.74 per cent, at 10,229.96 points.

 

The Standard & Poor's 500 index closed up 12.23 points, or 1.14 per cent, at 1083.48 points.

 

The Nasdaq composite index, closed up 24.26 points, or 1.10 per cent, at 2222.49 points.

 

European stock markets suffered a fourth day of losses Tuesday after news of a sharp plunge in the US housing sector and a profit slide at investment giant Goldman Sachs hit confidence.

…

The FTSE 100 index closed down 8.82 points, or 0.17 per cent, at 5139.46 points.

 

The German DAX 30 closed down 41.62 points, or 0.69 per cent, at 5967.49 points and the French CAC 40 closed down 18.31 points, or 0.53 per cent, at 3468.02 points.

 

Commodities

 

Oil prices closed higher in New York on Tuesday, as market players anticipated a drawdown in US crude oil reserves and kept an eye on a possible tropical storm brewing in the Caribbean.

…

August gold rose $US9.80 to settle at $US1191.70 per fine ounce on the Comex division of the New York Mercantile Exchange.

 

September silver rose 15 US cents to settle at $US17.693 per ounce.

 

Copper for September delivery settled 6.35 US cents higher at $US3.0015 per pound.

 

AAP, with BusinessDay

 

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"Mogi" Munkhdul Badral

CPS International

Email: mogi@cpsinternational.mn

Mobile: +976-99996779

 

CPS International is a marketing arm of CPS Securities in Mongolia. CPS Securities is a Perth, Western Australia based ASX Licensed Financial Services Company. To trade ASX stocks, feel free to contact me at mogi@cpsinternational.mn or +976-9999-6779.