Australia shares seen falling on fear of slowing US growth

MELBOURNE: Australian stocks are likely to open lower on Monday on worries about US growth following a disappointing jobs report, while investors will also be evaluating the impact of Canberra's carbon tax plan unveiled on Sunday.

Stock index futures fell 0.9 percent to 4,600.0, a 54.7-point discount to the underlying S&P/ASX 200 index. The benchmark rose 1.1 percent on Friday.

Analysts said they expect a muted impact on the market from the carbon tax package, which is due to take effect in July 2012.

Steel makers BlueScope Steel and OneSteel had stood to be big losers, but they will be fully compensated for the impact of the tax in the first few years. Much of that good news has already been factored into their shares, on leaks last week that they were going to be compensated.

Miners and transport groups, like Toll Holdings and QR National could come under pressure, as investors assess the impact of a loss of a diesel tax rebate, announced as part of the carbon tax package.

US stocks ended down on Friday as a weak jobs report dashed optimism that the economy was emerging from a soft patch, leaving investors to hope earnings season would revive an appetite for buying.

Copper fell on Friday, putting the brakes on a two-week rally, as a dismal set of US employment data scaled back some recovery optimism. Gold prices rose on safe-haven buying to post their biggest weekly gain since November 2009.

Copyright Reuters, 2011