Our market is poised to claw back some of yesterday's big losses as Wall Street rallied on reassuring comments from a number of US central bankers and oil staged a comeback.
The futures market is pointing to a 0.8% rise for the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) this morning after four members of the US Federal Reserve said that the world's largest economy was strong enough to withstand an interest rate rise before the end of the calendar year.
Our market slumped 2.1% yesterday after Fed chairperson Janet Yellen rattled markets by voicing concerns about how volatile markets were dimming the prospects for the US economy.
Telecommunications company TPG Telecom Ltd (ASX: TPM) will take center stage this morning. The telco posted a 31% increase in sales to $1.3 billion and a 33% surge in earnings before interest, tax, depreciation and amortisation (EBITDA) to $484.5 million for the year ended July 31, 2015.
The EBITDA is ahead of the company's March guidance of $480-$483 million while the revenue figure was in-line with consensus expectations.
TPG recently acquired iiNet Limited (ASX:IIN) but the target didn't contribute to the full-year results as the deal was completed after July 31.
TPG is also selling down its stake in Vocus Communications Limited (ASX: VOC) after failing to block its merger with Amcom Telecommunications Limited (ASX: AMM), according to the Australian Financial Review. This could put Vocus' shares under some pressure today.
Coal miner New Hope Corporation Limited (ASX: NHC) also posted its full-year results this morning showing a 25% increase in underlying net profit to $51.7 million. It also declared a 3.5 cents per share special dividend on top of its 2.5 cents final dividend.
Meanwhile, energy stocks like Woodside Petroleum Limited (ASX: WPL) could enjoy a bounce after the West Texas Intermediate oil price surged 4.5% to $US46.68 a barrel overnight. On the other hand, mining stocks could come under pressure as gold fell 0.5% to $US1,132.60 an ounce and iron ore broke a three-day winning streak to trade 0.7% lower at $US57.30 a tonne, according to the Metal Bulletin.
But diversified miner South32 Ltd (ASX: S32) could be spared some of the pain after it reported a 21% upgrade in estimated mineral resources at its Cannington coal project due to positive drilling results and favourable exchange rates and commodity prices.
Copper miner OZ Minerals Limited (ASX: OZL) could also find support after Credit Suisse upgraded the stock to "outperform" from "neutral" following its 23% plunge over the past three months to $3.53.
On the flipside, Telstra Corporation Ltd (ASX: TLS) may come under pressure after the Sydney Morning Herald reported that Singtel-Optus is stepping up efforts to win over rural broadband customers. This is a market where Telstra has a virtual monopoly.
Finally, a number of stocks will be trading ex-dividend tomorrow. Today is the last day you can buy Crown Resorts Ltd (ASX: CWN), Reject Shop Ltd (ASX: TRS) and Sigma Pharmaceutical Limited (ASX: SIP) if you want to collect on their dividends.
Crown is paying a dividend of 19 cents a share that is half franked, while Reject Shop and Sigma are paying a fully franked distribution of 13.5 cents and 2 cents a share, respectively.
