“It may be very short-lived. One of the concerns here is that the current proporsal has been put out publicly to push the debt ceiling back to Nov. 22. It's only a very short-term solution, but the market will be comforted by the the facts the talks have begun in giving the collected view that to fall on debt would be an insane position for the US to take, ah...since market's quite confident there will be a resolution.”

 

Taking a look at the figures.

 

And the All Ords and the ASX 200 finished up around 1.6 per cent. Taking a look across the region and it also gains across there. The Nikkei up by 1.2 per cent. That follow gains on Wall Street overnight. The Dow jumped 2.2 per cent. The S&P 500 added two per cent. And the volatility index in Chicago which tracks the strees levels of investors plunged back to levels not seen before the partial government shut down in the US.

 

Taking a look at commodities and overnight the spot gold price dropped sharply and remains below 1,300 US dollars an ounce.

 

And the Australian dollar's been picking up against most of the major currencies now and it's now cruising up towards 95 US cents.