Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

ASX 200 to rise despite global oil slump

EditorOliver Gray
Published 09/11/2023, 00:42
© Reuters

Investing.com - Despite the oscillations on Wall Street and a dramatic fall in oil prices due to concerns about international demand and interest rates, the Australian share market is set for a positive start.

As of 8:15 am AEDT (9:15 pm GMT), ASX 200 Futures lifted by 0.4% to 7,019.5, indicating a potential rise in the market. On the other hand, Brent, the global oil benchmark, slid over 2%, falling below $US80 a barrel for the first time since July. The U.S. benchmark, West Texas Intermediate, followed suit, plunging to below $US76 a barrel, a 2.8% decrease around 2:30 pm in New York. This came after a significant 4.3% drop in the previous session.

The Australian dollar lost 0.5% to US64¢, as the market continued to gauge the impact of the Reserve Bank's rate hike and a softening of its tightening bias. On Tuesday, following the RBA's rate hike to 4.35%, the local currency had reached a two-month high of US65.22¢.

Australian three-year bond yields were at 4.14%, and the 10-year at 4.518%. Bond yields have seen a significant drop since last week. Gold also experienced a dip, falling below $US1950 an ounce, after flirting with a move above $US2000 late last month.

In New York, shares struggled to maintain their strong start to November. The NYSE Fang + Index was slightly up as buying momentum began to wane. The yield on the US 10-year note continued to adjust lower, falling 50 basis points from its high in October.

Companies to watch include National Australia Bank Ltd (ASX:NAB), Orica Ltd (ASX:ORI), and Xero Ltd (ASX:XRO), which are expected to release earnings results. Annual meetings are scheduled for Amcor PLC (ASX:AMC), Cooper Energy Ltd (ASX:COE), Myer Holdings Ltd (ASX:MYR), Nine Entertainment Co Holdings Ltd (ASX:NEC), Seven West Media Ltd (ASX:SWM), and Star Entertainment Group Ltd (ASX:SGR). Westpac Banking Corp (ASX:WBC) shares are also set to trade ex-dividend.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Today's agenda includes retail card spending data for October from New Zealand at 8:45 am. Overseas data to be released include China's October CPI and PPI at 12:30 pm, and Japan's current account for September.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.