Crowe Horwath Australasia Pty : Daily Market Summary

The local market opened lower on the back of losses on Wall Street as confidence slipped in the global economy. However, the negativity was short-lived as stocks rose above the red-line just before midday and only recovered late due to resources. There were mixed results from the sectors; energy and health care posted the biggest gains by far while consumer staples was the worst performer for this session. The Australian dollar gained against most major currencies.

Asian stocks held near three-week lows as concerns about the underlying strength of the Chinese economy dogged investors. Pharmaceutical firms have helped Britain's top share index to gains, benefiting as Pfizer was set to pull out of a deal for Allergan, prompting speculation over other M&A in the sector.

US stocks closed with solid gains Wednesday, boosted by soaring oil prices, while minutes from the Federal Reserve's latest policy meeting signalled a reluctance to raise rates as early as this month. Minutes from the March meeting showed several officials argued against an interest-rate increase in April, saying such move 'would signal too much urgency they didn't think appropriate'. US central bank officials also were split on whether the stubbornly low inflation would hit the Fed's 2% target level.

The Australian market looks set to open higher with the SPI Futures up 18 points after Wall Street was bolstered by gains in healthcare shares after the collapse of the $US160 billion merger of Pfizer and Allergan, and by a rise in energy shares.