China, US data to guide local bourse
Australian investors will be keeping an eye out for Chinese and US economic data this week, as well as any developments in North Korea.
The Australian market is expected to open lower on Monday after falls on Wall Street and in Europe.
The June share price index futures contract is pointing to a five-point fall to 4890. But CommSec chief economist Craig James says he expects the local market to open as much as 15 to 20 points lower. He expects the fall to be less severe than in some overseas markets as local investors have already factored in Friday's weak US labour report for March.
He said the weaker dollar might also cushion the local market's fall as it helps companies with an overseas focus and attracts more foreign investors.
ANZ will release its data on March job advertisements on Monday and National Australia Bank will issue its monthly business survey on Tuesday. The Westpac/Melbourne Institute consumer sentiment survey is due on Wednesday and the Bureau of Statistics' labour force figures will be issued on Thursday.
Mr James said investors would take note of the job ads figures but they were becoming less important as employers explored other avenues, such as Facebook and LinkedIn, to find staff. "They don't provide the same insights as they might have five or 10 years ago.
In the US on Friday, the Dow Jones Industrial Average closed down 41.40 points at 14,564.71.
InvestSMART FORUM: Come and meet the team
We're loading up the van and going on tour from April to June, with events on the NSW central & north coast, the QLD mid-north coast and in Perth, Adelaide, Melbourne, Sydney and Canberra. Come and meet the team and take home simple strategies that you can use to build an investment portfolio to weather any storm. Book your spot here.
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