Aust stocks to open stronger
Australian stocks are tipped to start the week higher after gains on US and European markets, while the dollar will likely soften as it settles into a new range.
CommSec chief economist Craig James said futures markets were pointing to a lift of about 19 points at the beginning of trade.
But there were "a few headwinds" for the market on Monday morning, after gold and iron ore prices decreased last week and oil prices were mixed, he said.
The Australian dollar dropped on Friday to around 89.25 US cents, down from 89.57 US cents on Thursday.
The currency fell after the US Federal Reserve indicated it would keep interest rates at near zero until 2015 - and suggested it could hike rates in 2015 more quickly than many had expected.
"Over this week (the Australian dollar) is probably going to trade somewhere around the late 88s early 89 figure," Mr James said.
"I think we've settled down to a new range of 88 to 92 cents."
The Dow Jones on Friday was back at record highs and there were six-year high gains in European markets following Scotland's decision to remain part of the UK.
"That does set us up for a good start," Mr James said.
No "top-shelf" domestic indicators are due out this week, he said, but economists will look at the financial stability review, which will have a focus on housing, as well as US home sales and prices data.
The benchmark S&P/ASX200 index on Friday gained 17.3 points, or 0.32 per cent, at 5,433.1 points.
The broader All Ordinaries index was up 18.3 points, or 0.34 per cent, at 5,437.3 points.
"There's no pressing issue for markets as we move into the coming week," Mr James said.
