ASX 200 tipped to rise

October 14, 2021 - 1 week ago
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The Australian share market is expected to open higher after the S&P 500 snaps a three-day bearish streak Wednesday as investors digested third-quarter earnings and insights into when the U.S. Fed might taper its asset-purchase program.

The ASX futures climbed +49 points, or +0.7%, 7,281, while our local currency, the Australian Dollar, is currently buying US$0.7278 (as of writing).

Minutes released Wednesday U.S. Federal Open Market Committee’s (FOMC) September meeting showed the central bank could begin tapering its asset-purchase program as soon as mid-November.

Fresh economic data Wednesday kept inflation concerns in focus after the U.S. Consumer-Price Index showed U.S. inflation accelerated slightly in September, rising a seasonally adjusted 0.4% from the previous month and at a 5.4% annual rate.

Economists had forecast a 0.3% rise from August and a 5.3% annual rate.

At the finishing bell, on the New York Stock Exchange (NYSE), the blue-chip Dow Jones Industrial Average slipped -0.53 points, or less than -0.1%, to 34,377.81.

The broad-based Standard & Poor’s 500 Index added +13.15 points, or +0.3%, to 4,363.80, while the rich-tech Nasdaq Composite Index gained +105.71 points, or +0.7%, to 14,571.64.

Spot gold surged +2.05% to $US1,792.00/oz, while in other markets, West Texas Intermediate crude rose +0.2% to $80.05 per barrel, and Brent oil, oil’s international benchmark, slid -0.1% to $83.19.

Meanwhile, iron ore prices fell -3.7% to $US124.17 a tonne, while Bitcoin was rose +2.2% to $US57,290.00 (as of writing).

A firmer opening is anticipated based on the daily technical assessment, with the immediate resistance is considered minor at 7,325, with 7,260-65 located above. Reassess from there, while the support is considered at 7,280, with 7,220-25 assessed beneath.

Daily outlook on the benchmark S&P/ASX 200

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