Australian shares poised for gains tracking Wall Street
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The news: The Australian sharemarket is poised to start higher following overnight gains on Wall Street as weaker economic data cemented hopes for rate cuts later this year.
The numbers: The Dow Jones index is trading 0.66% higher, while the broader S&P 500 was up 0.46% and the tech-heavy Nasdaq added 0.19%. In the local market, ASX 200 futures were trading 65 points or 0.86% higher at 7,623 points at 7:00am AEDT on Friday.
The context: US stocks rose after a Commerce Department report showed US retail sales declined more than expected in January, dropping 0.8% in the month.
The data added to hopes the Federal Reserve will start cutting interest rates in coming months. Bets for a rate cut of at least 25 basis points in June now stand at roughly 79%, according to the CME Group's FedWatch Tool. It follows weak economic data from Japan and the UK respectively, which showed both economies fell into a recession.
In the local market, companies reporting results include Cleanaway, IAG and QBE Insurance.
The source: Reuters
