Outlook: Aus shares set to surge on open March 02, 2016 09:25 AM...

Outlook: Aus shares set to surge on open March 02, 2016 09:25 AM

The Australian share market has been given a firmly positive lead after US stocks rallied on affirmative economic data and European stocks pushed into recovery territory.

Miners and energy producers lead the charge in Europe while the London stock exchange surged on merger talks.

US stocks have hit a seven week high after oil prices rose and China freed up more cash in a bid to offset slower economic growth there.

US economic news

The Institute of Supply Management showed a second consecutive monthly rise in its index of national factory activity which was up 1.3 points to 49.5. The Index is now nearing positive growth territory which is a read of 50.

The Commerce Department says that construction spending rose 1.5 per cent in January to its highest level since 2007.

Markets

Wall Street closed higher yesterday:
The Dow Jones Industrial Average gained 2.1 per cent to close at 16,865,
the S&P 500 added 2.4 per cent to close at 1,978
and the NASDAQ advanced 2.9 per cent to close at 4,690.

European markets closed up:
London’s FTSE is up 0.9 per cent,
Paris rose 1.2 per cent
and Frankfurt gained 2.3 per cent.

Asian markets closed higher:
Tokyo’s Nikkei added 0.4 per cent,
Hong Kong’s Hang Seng was 1.6 per cent up,
and China’s Shanghai Composite lifted 1.7 per cent.

The Australian share market closed higher yesterday: The S&P/ASX 200 Index closed 41 points up to finish at 4,922.

On the futures market the SPI is pointing 92 points up.

TLS Recovery Breakout point  is at at 5.17 ...to move into an uptrend