Futures trading pointed to the Australian share market rising on opening today following a stronger finish on Wall Street and as the market awaits the release of key monthly inflation data.
At 9:20 am (AEDT) the December 2024 contract of the ASX share price (SPI) 200 index was trading at 8,387, up 38 points (0.45%).
The S&P/ASX 200 Index fell 58.2 points (0.7%) to close at 8,485 on Tuesday as it left behind a fresh closing high on Monday.
A jump in technology stocks boosted United States stock indices to record highs on Tuesday (Wednesday AEDT) with the Dow Jones Industrial Average and S&P 500 edging 0.3% higher and the Nasdaq Composite adding 0.6%.
This was after digesting news that incoming President Donald Trump planned a 25% tariff on Canadian and Mexican imports and an extra 10% tariff on Chinese imports, and that the Federal Reserve had flagged gradual interest rate cuts.
In Australia, the October consumer price index (CPI) to be announced at 11:30 am (AEDT) will be closely watched because the cost of living is a major issue with financial market and electoral implications.
Goldman Sachs is expecting an 0.4% fall in the CPI in October as some households receive an electricity subsidy twice, producing a stable annual rate of 2.1%, which is below the Bloomberg consensus of 2.3% year-on-year.
This followed continued disinflation in September, when the annual CPI rate fell 60 basis points to 2.1%.
Among the stocks to watch will be retailer Harvey Norman (ASX: HVN) which today provided a trading update in which it said aggregated sales rose 1.7% in the period 1 July to 31 October 2024 compared with the same period a year earlier.
On bond markets, Australian Government 10-year yields rose 0.005 (0.11%) to 4.45% and two-year rates rose 0.002 (0.05%) to 4.018%.