Australian shares are set to lift again as Wall Street moved higher and the US recorded a second straight quarter of negative economic growth.
Australian shares are set to open higher as Wall Street defied GDP figures to push towards a seven-week high. The
“A profit recession is already underway, and our fair-value model suggests stock prices were a mere 2 per cent away from pricing in a garden-variety economic recession when they hit a low in June,” Martin Adams and Casper wrote in a research note. “While profit recessions don’t always coincide with economic recessions, leading job-market indicators are weakening materially, and it’s the depth of the former rather than the timing of the later that should matter most for stocks.
Overseas data: China Mfg. PMI Jul; Non-mfg PMI Jul; Euro zone CPI Jul y/y; GDP Q2; Japan job to applicant ratio Jun; Japan industrial Production Jun; Shell accelerated share buybacks after reporting record profit for a second consecutive quarter due to high oil and gas prices. Banks weighed on Britain’s benchmark index, down 2.3 per cent , with Barclays losing 4.6 per cent after the lender’s first-half profit fell more than expected due to a 1.9 billion pound hit for regulatory missteps.
“Wall Street is convinced that the Fed will likely pivot to a slower pace of tightening in September,” Ed Moya, senior market analyst at OANDA, said in a message. “The unexpected contraction of the US economy means that both the peak in Treasury yields has been made and a bottom has been formed for gold. The stagflation playbook is bullish for gold prices and that appears how many traders will be positioning themselves going forward.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
ASX to lift as Wall Street enjoys bump from Fed rate riseAustralian shares are set to rise as markets were buoyed by the US Federal Reserve delivering a bumper interest rate rise as it seeks to put a lid on raging inflation.
Read more »
ASX to lift as Wall Street enjoys bump from Fed rate riseAustralian shares are set to rise as markets were buoyed by the US Federal Reserve delivering a bumper interest rate rise as it seeks to put a lid on raging inflation.
Read more »
ASX to open down as Wall Street turns skittishAustralian shares are set to open down as markets were subdued ahead of the Federal Reserve meeting on Wednesday.
Read more »
ASX to slide, Wall Street lower, inflation data aheadAustralian share futures point to opening decline. June quarter inflation data for Australia out today. Wall Street declines ahead of Federal Reserve meeting. Follow updates here.
Read more »
ASX to open down as Wall Street turns skittishAustralian shares are set to open down as markets were subdued ahead of the Federal Reserve meeting on Wednesday.
Read more »
‘Desecration’: historic border meeting point at risk as US-Mexico wall growsFor half a century, families living on both sides of the border have reunited at Friendship Park. Now 30ft walls threaten the experience
Read more »