The big four banks and the energy sector are seeing a strong bounce today today lifting the Australian market 1.36 per cent by noon.
Investors are eyeing opportunities after a week of falls in the ASX with bargain hunters snapping up cheap stocks as more earnings results are released.
The S&P/ASX 200 index is 73 points up at 5,376. On the futures market the SPI is 62 points higher.
Economic news
The Westpac Melbourne Institute Leading Index has fallen from 0.02 per cent in June to 0.49 per cent in July indicating a loss of momentum in the pace of future economic growth.
Company news
Seven West Media Limited
(ASX:SWM) has posted a $1.89 billion loss for the year after taking a number of write downs including $929 million on the value of its television licences. The media company says the write downs are part of a year of transformation as the company shifts from traditional TV to digital and mobile. Shares in Seven are trading up 0.92 per cent at $0.82.
Treasury Wine Estates Limited
(ASX:TWE) is continuing with a strong turnaround posting a $77.6 million profit, up from a $100 million loss last year. The company is reporting strong growth in demand for its wines from China and says it has slashed costs by around $40 million. Shares in Treasury Wine Estates are trading 9.53 per cent up at $6.04.
Best and worst perfomers
The best performing sector is energy, gaining 2.4 per cent to 9,738. Shares in Whitehaven Coal have risen 6.79 per cent and are trading at $1.18. Shares in Beach Energy and Origin are also stronger.
The worst performing sector is consumer discretionary, the only sector making losses today in fact, falling 0.2 per cent to 1,858. Shares in InvoCare have fallen 2.5 per cent, trading at $11.70. Shares in Myer and Village Roadshow are also lower.
IPOs Paradigm Biopharmaceuticals Limited
(ASX:PAR) started trading today. The drug company floated with an issue price of $0.35, opened at $0.40 and is currently trading at $0.36.
Gold and the dollar
Gold is trading at $US1,118 an ounce.
The Australian dollar is buying 73.4 US cents.
