Aussie shares set to soar at open

THE Australian market looks set to open more than half a per cent higher after major US indexes lifted to fresh record highs.

Specialist Peter Mazza, left, works with traders Kevin Lodewick, centre, and Joseph Lawler on the floor of the New York Stock Exchange on Thursday 26 October 2017. Picture: Richard Drew/AP

THE Australian market looks set to open more than half a per cent higher after major US indexes lifted on a strong tech sector, an annualised three per cent GDP growth and talk of President Donald Trump’s pick for Federal Reserve chair.

At 0700 AEDT on Monday, the share price futures index was up 34 points, or 0.58 per cent, at 5,921. In the US, Wall Street on Friday closed higher after a surge in the tech sector and a rally in Amazon shares helped push the Nasdaq to its best day in nearly a year.

Third-quarter GDP data showed that the US economy unexpectedly maintained a brisk pace of growth, at a 3 per cent annual rate, and a report said President Trump was favouring Federal Reserve governor Jerome Powell as the head of the US central bank.

The Dow Jones Industrial Average rose 0.14 per cent, the S&P 500 gained 0.81 per cent and the Nasdaq Composite added 2.20 per cent.

Locally, in economic news on Monday, CoreLogic’s capital city house prices survey for the week just ended is due out. In equities news, ANZ, National Australia Bank and Westpac return to court for an update on their rates rigging trial over ASIC allegations of alleged inter- bank rates.

AWE is expected to provide its September quarter report.

The Australian market on Friday closed lower on fears the Turnbull government could lose its one-seat majority following the High Court’s ruling disqualifying Deputy Prime Minister Barnaby Joyce from parliament because of his dual citizenship..

The benchmark S&P/ASX200 index lost 13.1 points, or 0.22 per cent, to 5,903.2 points. The broader All Ordinaries index was down 13.2 points, or also 0.22 per cent, at 5,969.3 points.

Meanwhile, the Australian dollar has risen against a stronger US dollar, with traders appearing to focus on rallying equities rather than the Catalan situation The local currency was trading at 76.76 US cents at 0700 AEDT on Monday, from 76.45 on Friday.