commodity prices ; Modest gains tipped for Australian market

Modest gains tipped for Australian market : THE Australian market is tipped to open modestly higher with mining stocks benefiting from a higher Australian dollar and stronger commodity prices. The December share price index futures contract is pointing to a four point rise, or 0.08 per cent, when trading opens today and CommSec's chief economist Craig James said this was about right.

Mr James tips the local exchange to open between five and 10 points higher with globally focused companies being influenced from a stronger Australian dollar, which traded over US99.31¢ on Friday.

''It's bad news for Billabong, Westfield, CSL, Cochlear,'' he said.

''But the mining and energy shares should benefit from higher commodity prices.''

Wall Street closed higher on Friday despite deeply disappointing jobs data, which showed the US unemployment rate unexpectedly jumped in November from 9.6 per cent to 9.8 per cent.

The jobs data contradicted a recent slew of positive economic data, including the release of the purchasing managers index on Friday showing the US services sector expanded more than expected in November.

''Most investors conclude that the payroll figures are backward looking and we do know the jobless claims continue to fall so the four-week average is at the lowest levels in over two years,'' Mr James said. The blue-chip Dow Jones Industrial Average tracked 19.68 points, or 0.17 per cent, higher to 11,382.09. For the latest updates PRESS CTR + D or visit Stock Market news Today

Related Post: