The Australian sharemarket is expected to open significantly lower this morning after dire job loss figures out of the US overnight drove heavy falls on Wall Street and European markets.
Prices in the US slumped after a US government report said the unemployment rate rose to a new 26-year high of 9.5 per cent in June. The figures dampen hopes for an early recovery from recession, and will temper demand, analysts said.
Oil and base metal prices also plummeted, likely to spark falls in local resources stocks.
At 4.45am on the Sydney Futures Exchange, the September share price index contract was 78 points lower at 3783.
Among economic news due out today is the Australian Industry Group/Commonwealth Bank Australian Performance of Services Index (Australian PSI) for June.
In equities news, White Energy Company, First Opportunity Fund, JV Global, Red Sky Energy and Vital Metals will hold general meetings.
The inaugural Delta Airlines Sydney to Los Angeles service will depart.
The Australian share market closed flat yesterday after earlier gains were whittled back despite advances in resources stocks and a positive lead from Wall Street.
The benchmark S&P-ASX 200 index was up 3.3 points, or 0.09 per cent, at 3,877.3 points, while the broader All Ordinaries index advanced 2.9 points, or 0.07 per cent, to 3875.2 points.
Meanwhile the Australian dollar opened lower this morning, as investors' expectations of a recovery in the American economy were dampened after the US unemployment rate hit a 26-year high.
At 5am, the local currency was trading at $US0.7936/41, down 1.11 per cent from Thursday's close of $US0.8027/29.
AAP
