Here are the headlines from the S&P/ASX 200 (INDEXASX: XJO)(ASX: XJO) and Australian finance circles on Monday morning.
But first, here are the data points:
Australian Dollar ($A) (AUDUSD): 73.96 US cents
Dow Jones (DJI): up 0.5%
Oil (WTI): $US68.59 per barrel
Gold: $US1,222 per ounce
Australian Investing News
Making finance news today, this week marks the second official week of reporting season, when most Australian companies release their financial results.
Companies expected to report this week include embattled financial services heavyweights Commonwealth Bank of Australia (ASX: CBA) and AMP Limited (ASX: AMP). Click here for this week’s reporting season calendar.
Also coming later this week, on Tuesday, the Reserve Bank of Australia (RBA) will meet for its monthly interest rate decision. Last month, the ABC reported JP Morgan economist Sally Auld as saying she does not expect an interest rate cut anytime soon, given the high level of household debt.
“I think it’s really important to reiterate that it’s not on the RBA’s agenda anytime soon,” Ms Auld said. “What does that do to the state of household balance sheets, which are already, on most metrics, looking very leveraged?”
Investors will be eagerly watching for the RBA’s comments on inflation, housing and unemployment figures, which are key drivers of interest rates. Another key point of focus will be the prospects of slowing Australian house prices, which according to some economists could be set for weaker than expected growth in coming years.
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