Finance news you need to know today

WOOLWORTHS’ sales turnaround is likely to happen at a faster pace than the market expects, analysts at investment bank UBS say.

THE Australian share market looks set to open higher after the ASX posted its strongest session of the year on Tuesday. The share price futures index was up six points, or 0.1 per cent, at 5,738.

Meanwhile, the Australian dollar is lower after the Reserve Bank appeared not to be inclined to consider raising its interest rate. At 0748 AEST on Wednesday, the Australian dollar was worth 76.04 US cents, down from 76.17 US cents on Tuesday.

WORLD FINANCE UPDATE:

SEOUL — North Korea says it successfully test-launched a first intercontinental ballistic missile (ICBM), which some analysts say could put all of the US state of Alaska in range for the first time.

BRUSSELS — The European Parliament has passed a directive requiring big multinationals to report tax and financial data separately in all countries where they operate in a bid to tackle tax avoidance and profit shifting to countries with lower taxes.

PARIS — French Prime Minister Edouard Philippe says it’s time to end France’s addiction to easy public spending, promising to cut expenditures over the next five years and rein in debts he says are at an unacceptable level.

TUESDAY HIGHLIGHTS:

RETAIL — Retail sales have risen for a second straight month in May, raising hopes of a recovery in consumer sentiment that could help lift Australia’s weak economic growth.

RATES — The Reserve Bank remains firmly perched on the fence, leaving the official cash rate unchanged at a record low for an eleventh straight month.

TEN — Ten Network’s billionaire shareholders Lachlan Murdoch and Bruce Gordon have signalled their intention to take over the besieged network, seeking a review of a joint bid from the competition regulator.

CONSUMER — Consumer sentiment has bounced back after two weeks of decline on the back of optimism about economic conditions amid strength in the labour market.

BENDIGO — Bendigo and Adelaide Bank is raising rates on interest-only mortgages, following similar moves by the major lenders.

FAIRFAX — A business model where property portal Domain is the prize and newspapers the problem is among the reasons two equity firms may have soured on a multi-billion dollar takeover of Fairfax Media, analysts say.

WOOLWORTHS — Woolworths’ sales turnaround is likely to happen at a faster pace than the market expects, analysts at investment bank UBS say.