Finance news you need to know today

IRAN will reciprocate if the US imposes new sanctions on it, President Hassan Rouhani says, casting doubt over the outlook for the 2015 nuclear accord.

THE Australian dollar has strongly rebounded against its US counterpart but the local share market looks set for a flat open. At 0700 AEST on Thursday, the share price futures index was unchanged at 5,717.

Meanwhile, the Australian dollar has reached above 80 US cents, solidly retracing the losses prompted by Wednesday’s disappointing CPI figures. The local currency was trading at 80.01 US cents at 0700 AEST on Thursday, from 78.91 on Wednesday.

WORLD FINANCE UPDATE:

BEIRUT — Iran will reciprocate if the US imposes new sanctions on it, President Hassan Rouhani says, according to state media, casting further doubt over the outlook for the 2015 Iran nuclear accord.

DETROIT — Ford Motor Co has reported a better-than-expected quarterly net profit due to a lower tax rate and increased sales of more profitable pick-up trucks in the US market.

ISLAMABAD — Owners of Pakistani fuel tankers ended their protest strike on its third day, dispelling fears of a shortage that prompted long queues at petrol stations countrywide.

WEDNESDAY HIGHLIGHTS:

CPI — A weaker than expected spike in food prices and continuing woes for the retail sector have likely contributed to a cooling in Australia’s inflation rate.

ACCC FORD — Car maker Ford Australia is embroiled in a legal stoush over allegations it gave customers a bum steer about transmission issues in several of its models and blamed drivers for the problem.

COSTELLO — Future Fund chairman Peter Costello has that warned that the age of cheap money is coming to an end and says investors have to realise Australia’s inflated asset prices will normalise.

ENERGY BUSINESS — Small businesses are being dealt more than their fair share of Australia’s rising electricity prices, the small business ombudsman says.

SKYCITY — A surge in poker machine numbers across Darwin has hurt business in the city’s casino, forcing operator SkyCity Entertainment to take a $95 million write down on the value of the operation.

RBA LOWE — Slow wage growth and low inflation are at the top of the Reserve Bank of Australia’s challenges, the central bank governor has said, reiterating the bank’s determination to walk its own path on monetary policy.

ARDENT — Ardent Leisure has dismissed the latest attack from rebel shareholders, describing rival proposals as inaccurate and misleading, amid an ongoing battle to reshuffle the board of the embattled theme park operator.

IPO — Growing markets for minerals needed in battery manufacturing are powering a rise in small-cap mining company listings on the Australian share market this year.

RETAIL FOOD GROUP — Retail Food Group (RFG) has set up joint ventures with two UAE-based business groups to expand its commercial coffee operations in the Middle East.

INVESTMENT DELOITTE — The value of total capital investment projects in Australia has slid to a seven- year low, with construction on major gas developments being completed and as the mining sector shies away from fresh spending.

SENEX — Junior oil producer Senex Energy’s full year revenue has fallen 37 per cent amid struggles with lower sales volume and weaker oil prices.