After a flat start market should pick up on expected good news from EU

The Australian sharemarket is expected to open the week flat, with traders likely to be cautious following volatility on Wall Street. AMP Capital chief economist Shane Oliver said traders would be weighing up negative signals from the US market against stronger commodity prices, which would help resource stocks. "Consequently, the futures contract for the ASX 200 was flat on Friday, suggesting a pretty flat start to trade on Monday," Dr Oliver said. Australian shares finished lower on Friday, dragged down by the banks. The ASX 200 Index was down 9.6 points, or 0.19 per cent, at 5055.2, a 1.2 per cent fall for the week. The All Ordinaries was down 8.3 points, or 0.16 per cent, at 5038.8. Dr Oliver said traders would also be looking closely at European GDP data for the June quarter due out on Wednesday. "If it's positive, as expected, it will add to confidence that the global economy is on the mend, which should bode well for the local market," he said.