The news: Australian shares are set to lift at the open after US stocks posted modest gains amid a stand-off between Republicans and Democrats which could lead to a government shutdown and delay the release of key labour-market data, potentially clouding views on interest rates.
The numbers: Updated at 7:40am AEST:
ASX futures: up 16 points to 8,910Wall Street: Dow Jones up 0.15%, S&P 500 up 0.26% and Nasdaq up 0.48%Europe: CAC 40 up 0.13%, DAX up 0.02% and FTSE 100 up 0.16%Spot gold: up 1.96% to USD3,834 per ounceOil prices: Brent down 3.54% at USD67.65/bbl and US WTI down 3.45% to USD63.45/bblAUD: up 0.52% to 65.76 US centsBitcoin: up 2.94% to USD114,210.
The context: The US government is due to have its funding measures expire on 1 October if Republican and Democrat lawmakers cannot agree on a short-term funding bill. US President Donald Trump’s administration has threatened to use an ensuing government shutdown to fire a slew of workers from federal agencies.
The shutdown could also delay the release of key labour-market data that is used to gauge the health of the US economy, potentially clouding investors’ views on how fast the US Federal Reserve will cut interest rates.
This includes the Bureau of Labor Statistics’ September payroll and employment data scheduled for release on Friday evening (AEST) and the August data for the job openings and labour turnover survey scheduled for release on Tuesday.