27/9/2011
This article is about how Wall Street's latest gains overnight will mean that Australian shares will jump as well. This optimism is caused by the fact that Europe may find a way to resolve its debt crisis, and the ASX is set to rise as much as 2.7% after the US rose 2.5% and Europe rose 2%.
This means that the rise in confidence in Europe will equate to a further rise in share markets around the world, as it is due to the increasing reliance of globalisation around the world. As Australia is heavily reliant on Western stock exchanges for its confidence.
However Australia is also reliant on the US dollar, as America is one of our largest trading partners. It has fallen against the US dollar in recent times, but it has only fallen half as much as BHP since May, and the dollar is the reason why Australia's economy has been able to go through the debt crisis better than other nations.
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