Aust stocks open flat

Local market flat despite yesterday's five-year closing high and Wall St gains.

The Australian stock market opened flat despite gains on most international markets overnight with cautious traders considering a possible deal aimed at preventing a United States-led military attack on Syria.

At 1015 AEST official market open, the benchmark S&P/ASX200 index inched up 0.02% to 5,235.6 points, while the broader All Ordinaries index edged 0.02% higher to 5,231.6 points.

IG analyst Evan Lucas said recent strong sentiment numbers could be trumped today if the unemployment rate rises.

"Australian consumer confidence has shot off post the federal election, business confidence is in the same boat while business conditions have a little ways to go to catch up to the herd," Mr Lucas said.

"There is a feeling that when we hit the year-to-date high of 5,249.6 the market will be at a crossroads.

"We are due for a pullback after such a strong run."

In economic news, the Australia Bureau of Statistics (ABS) releases labour force data for August.

In equities news, Myer Holdings posts full year results and Sigma Pharmaceuticals first half results.

Meanwhile, Caltex Australia chief executive Julian Segal is scheduled to speak at an American Chamber of Commerce in Australia function in Sydney.

In Australia, the market yesterday hit a five-year closing high as investors are inspired by China's economic growth.

Positive economic data out of China, strong Australian consumer sentiment and the likelihood of a non-violent outcome in Syria all contributed to a fourth straight day of gains.

The benchmark S&P/ASX200 index was up 33.2 points, or 0.64%, to 5,234.4.

The broader All Ordinaries index gained 31.7 points, or 0.61%, to 5,230.6.

Want access to our latest research and new buy ideas?

Start a free 15 day trial and gain access to our research, recommendations and market-beating model portfolios.

Sign up for free

Related Articles