The Australian market is set to open slightly higher after world markets reacted positively to the release of Spain’s 2013 budget supporting its austerity measures.

At 0719 AEST on Thursday, the December share price index futures contract was up two points at 4,388.

Reports that the People’s Bank of China would stimulate money markets also drove gains on overseas sharemarkets overnight, and that news was responsible for a strong gain on the local market on Thursday.

At the close of trade on Thursday, the benchmark S&P/ASX200 index was up 22.6 points, or 0.52 per cent, at 4,384.2, while the broader All Ordinaries index had risen 20.3 points, or 0.46 per cent, to 4,402.8.

In economic news on Friday, the Reserve Bank of Australia releases its financial aggregates for August.

In equities news, managing director of Rio Tinto Australia Bill Champion is scheduled to deliver a speech at Griffith University.