Yesterday the Australian share market weathered the bad lead from Wall Street and ended with a modest drop. The benchmark S&P/ASX200 index closed down 0.4%, or 14.3 points, at 3474.4, while the All Ordinaries fell 0.3%, or 10.5 points, at 3418.1. Today traders are expecting Rio Tinto's earnings report with a profit increase and details of the talks with Chinalco over the A$30 billion cash injection deal.
Asian shares are set to gain on Monday after a rally on Wall Street last Friday. Japan's Nikkei average is also expected to be buoyed by exporters on a weaker yen. Asian shares rallied across the region Friday with shipping stocks leading for another day and miners rising on hopes that demand for commodities might be picking up. The Shanghai Composite Index rallied 4%, delivering its best performance of the week while China-related shares also lifted the market in Hong Kong.
The Australian share market ended last week with 1% higher led by the overseas markets. The benchmark S&P/ASX200 index surged 41.3 points, or 1.2%, to 3469.9 while the broader All Ordinaries index closed with 34.9 points higher, or 1%, settled at 3407.5.
Yesterday the Australian shares closed slightly lower with the benchmark S&P/ASX200 index down 0.3%, or 9.3 points, at 3428.6, while the broader All Ordinaries index declined 0.3%, or 9.7 points, at 3372.6. The market opened higher after the positive lead from the US and UK, but could also be rocked by the earnings of NAB and News Corp.
Asia's major markets including Tokyo, Shanghai and Hong Kong closed higher on Wednesday after the US stocks rose on the positive economy data and progress on government's stimulus plan. Tokyo stocks opened lower Thursday as investor sentiment was dampened by bleak U.S. corporate earnings.
On Thursday, the Australian shares rose for the third consecutive day led by rallies in overseas markets and strong commodities prices. The benchmark S&P/ASX200 index was up 30.7 points, or 0.88 per cent, at 3,526.2, while the broader All Ordinaries index had gained 26.2 points, or 0.76 per cent, to 3,461.3. The Australian market might lose its recent gains following the heavy fall in Wall St.
Asian markets were broadly weaker yesterday, with the battered Japanese Nikkei losing almost 1 per cent to close at 7682.1 points. A number of major markets including China, Hong Kong, Taiwan, Korea and Singapore are closed for Lunar New Year holiday.
