SYDNEY: The Australian stocks edged slightly higher at the open, brushing off mixed leads from Wall Street, as a rally in key commodity prices buoyed mining and energy stocks.
At the 10.15am (AEST) official market open, the benchmark S&P/ASX200 index was up 2.4 points, or 0.04 per cent, at 5,949 points, while the broader All Ordinaries index added 2.3 points, or 0.04 per cent, to 5,918.5 points.
CMC chief market analyst Ric Spooner said iron ore’s recovery to above $US50 a tonne and a stronger oil prices should see a reversal in resource stocks ahead of key Chinese economic data due at midday.
“While hopes of stabilising commodity prices provide something for optimists to pin their hopes for the Australian economy on, news that the weather bureau now sees a significant probability of an El Nino weather pattern by June is a negative,” he said.
“It creates a real prospect of a poor season for farmers and a potential downside for both the economy and the budget deficit.”
