SYDNEY (XFN-ASIA) - Share prices are expected to open slightly higher for the first trading session since last Friday with activity expected to be light with many investors away for the Christmas to New Year break, dealers said.
They said the market is likely to be led by miners following gains in copper and gold prices while the energy sector may be affected by lower crude oil prices.
Dealers said investors are likely to be encouraged by Japan's Nikkei 225 index finishing yesterday at a seven and a half month high following data showing a less-than-expected fall in personal consumption in November, while in New York share prices rose as merger and acquisition activity continued and investors were encouraged by lower oil prices.
The S&P/ASX 200 March futures contract hasn't traded since before Christmas when it ended its last session down 1.0 point at 5,609.0.
On Friday, the S&P/ASX 200 rose 20.2 points or 0.36 pct to finish at its day-high of 5,603.7. The All Ordinaries Index added 16.1 points to end at 5,577.8.
In New York, the Dow Jones Industrial average rose 64.41 points or 0.52 pct to 12,407.63.
News Corp ended down 0.22 pct while National Australia Bank's American Depositary Receipts rose 0.22 pct.
The London market was closed for the Christmas break.
Crude oil prices fell sharply on Tuesday in response to warmer-than-normal winter weather in the US, despite early gains after the Iranian oil minister announced that Iran would 'use any weapon to defend itself' against UN sanctions.
The February crude contract fell 1.31 usd to settle at 61.10 usd a barrel on the New York Mercantile Exchange.
Base metal prices rose across the board in thin holiday trading. Most traders are awaiting the reopening of the London Metals Exchange after the Christmas break for direction.
The price of gold was higher as fund managers sought a safe haven investment the United Nations agreed to enforce sanctions against Iran for its nuclear program. The February benchmark Comex gold contract closed up 4.60 usd at 626.90 usd an ounce.
(1 usd = 1.28 aud)
bruce.hextall@xfn.com
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