Shares rise early on US economy data

Shares have edged higher on the Australian market, and most sectors are up, after the released of improved home sales data in the US.

The S&P/ASX200 benchmark index was higher by 15.8 points, or 0.27 per cent, at 5970.2 points after the first 15 minutes of trade on Wednesday.

The All Ordinaries index was 17.3 points, or 0.29 per cent higher, at 6086.6.

Information technology was the sector with the greatest gain, of 2.03 per cent.

Materials was next best, up 0.64 per cent.

Industrials, consumer staples and property were down by less than 1.0 per cent.

In the US, Wall Street’s three major indices closed higher after data showed the pace of contraction in the US manufacturing and services sectors slowed in June as businesses reopened after lockdowns that started in mid-March.

New home sales in the US jumped 16.6 per cent in May, blowing past estimates of a 2.9 per cent rise.

The mood may have been dampened a little by a New York Times report that European Union countries were prepared to block Americans from entering because the United States has failed to control the coronavirus pandemic.

The Australian dollar was buying 69.52 US cents at 1015 AEST, up from 69.09 US cents at the close of trade on Tuesday

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