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Australian stocks are expected to open flat tomorrow as Wall street closed the week modestly lower following its horror session on Thursday.
Commsec chief economist Craig James said at this moment in time, the share market was not driven by fundamentals but rather by sentiment.
"Predicting the share market is like predicting horse racing," Mr James said.
"The futures market is pointing to a gain of 27 points but it's still very hard to predict.
The Dow Jones lost 128 points, or 1.49 per cent to 8451.19 while the Standard & Poor's 500 index fell 10.7 points, or 1.18 per cent, to 899.22.
The tech-heavy Nasdaq managed a slim gain of 4.39 points or 0.27 per cent, to 1,649.51.
Despite the US Columbus Day public holiday on Monday, the stock markets will remain open.
"Investors haven't been given a lot of confidence by the wishy washy statement coming from the G7, it's short on specifics," Mr James said.
"But we do know that the stock market is super cheap, inventors just need to have confidence because buying now will produce good gains over the longer term."
The Australian share market closed more than eight per cent lower on Friday in a session that wiped $106 billion from the value of stocks -- the biggest daily drop in 16 years.
The benchmark S&P/ASX200 index was down 360.2 points, or 8.34 per cent, at 3,960.7, while the broader All Ordinaries index fell 351.9 points, or 8.2 per cent, to 3,939.4 - its biggest fall since 20 October 1987 when it dropped almost 25 per cent.
Tomorrow, the Australian Bureau of Statistics (ABS) lending finance data for August and Australia and New Zealand Banking Group Ltd job ads survey for September is set to be released.
On Tuesday, Fairfax Media Ltd chief executive David Kirk will address the Sydney Institute on "The Public Good, Public Companies and the future of Print Media and Quality Journalism".
While Telstra business managing director Deena Shiff to will speak at the American Chamber of Commerce in meeting in Sydney on "Outsmarting a Slowdown - How Australian Business is using new Technology".
The Reserve Bank of Australia bulletin for October and Ten Network Holdings annual results come out on Thursday.
News Corporation will hold its annual general meeting in New York on Friday. http://www.businessspectator.com.au/bs.nsf/Article/Local-stocks-tipped-to-open-flat-KC4ZC?OpenDocument&src=tnb
