Futures contracts for the S&P/ASX 200 (INDEXASX: XJO)(ASX: XJO) index are pointing to a negative open on Tuesday morning with RBA interest rates in focus.
Here’s the key headline data:
Australian Dollar ($A) (AUDUSD): 76.53 US cents
Dow Jones (DJI): up 0.7%
Oil (WTI): $US64.98 per barrel
Gold: $US1,296 per ounce
Australian Investing News
Making news in Australia, the RBA will meet to discuss interest rates today. Although many banks have increased their mortgage interest rates in recent months, Australia’s official interest rate of 1.5% has been stuck on hold for almost two years.
So what can we expect?
All of the 21 economists surveyed by Bloomberg expect the interest rate to remain unchanged.
In ASX news, Fonterra Shareholders’ Fund (ASX: FSF), the dairy co-operative headquartered in New Zealand, released a global dairy update and nine-month business update this morning. In a statement to the ASX, Fonterra confirmed its full-year profit forecast of between 25 and 30 cents per share, with a 2018 dividend target of between 15 and 20 cents.
For the 12 months to March 2018, Fonterra said China imported 17% more dairy compared to the year prior while Australia increased exports by 3%. Pleasingly for farmers, Fonterra said its new season 2018/2019 farmgate milk price is $7 per kilogram of milk solids (kgMS).
Lastly, GUD Holdings Limited (ASX: GUD) announced the takeover of Disc Brakes Australia for $20 million. GUD said Disc Brakes Australia, which makes an operating profit of $3 million, will form part of the Ryco Group.
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