Investing.com - Australian shares lifted slightly on Thursday, even as Wall Street concluded with a mixed performance. The Dow Jones reversed its earlier gains, and both the S&P 500 and NASDAQ Composite slightly pared back their advances.
The US equities market had previously extended its morning gains into the afternoon, following Federal Reserve Chairman Jerome Powell's statement that the latest US economic data did not alter his anticipation of inflation trending down toward 2%. Powell assured a Stanford University audience that the recent data does not significantly alter the overall economic picture.
Gold prices are nearing $US2300 an ounce, and oil hovers around $US90 per barrel. This has led the Biden administration to shelve plans to boost its strategic reserves for now. Iron ore prices have fallen below $US100 a tonne.
In London, robusta coffee futures saw a rise of up to 4.8% to reach $US3838 per tonne. Meanwhile, arabica futures in New York surpassed $US2 per pound for the first time since December.
Powell reiterated in his speech that policymakers won't rush to make decisions. He stated that if the economy evolves as expected, most FOMC participants see it as appropriate to begin lowering the policy rate at some point this year.
ANZ Research affirmed in a morning note that the Fed is on track to cut rates this year, with data determining the timing. They believe that by July, the FOMC will likely have sufficient confidence to begin reducing rates.
In focus today is Scentre Group Ltd (ASX:SCG), which hosts an AGM. Furthermore, ARB Corporation Ltd (ASX:ARB) will trade ex-dividend.
Among local data, investors will be monitoring a speech by Brad Jones, RBA assistant governor, at the COSBOA’s National Small Business Summit at 10.50am as well as Dwelling approvals February at 11.30am.
Overseas data includes NZ February building permits at 8.45am; Eurozone February PPI at 8pm and US February trade balance at 11.30pm.