Aussie shares continued with yesterday’s gains and closed higher again today as retail and consumer related stocks rallied. Shares in Woolworths and David Jones benefited from improving confidence in consumer sentiment.
A survey conducted by NAB showed that business conditions and confidence increased 11 points to minus 9 in the three months to June, although the index is still negative.
The S&P/ASX 200 Index closed 30 points higher at 4,170 while on the futures market, the SPI200’s up 27.
In company news around this afternoon, Wesfarmers (ASX:WES) chief executive Richard Goyder said today that he expects a better outlook for the Australian retail sector as the global economy improves. He said sales growth at the Coles supermarkets chain would be comparable with other retailers. Shares closed 1.19% higher at $26.35.
Consumer products supplier G.U.D Holdings (ASX:GUD) said today that it is in a strong position despite reporting an annual net profit that fell 6.9 per cent compared to a year earlier to $34.8 million. GUD, which supplies Sunbeam appliances, said the fall in net profit reflected the sale in 2008 of the Victa lawnmower business and restructuring charges. GUD Holdings shares gained 5% to $7.35 today.
Also making news today: Transfield Services (ASX:TSE) will record a pre-tax impairment charge of $168 million in the 2009 financial year because of deteriorating economic conditions.
Babcock & Brown Infrastructure (ASX:BBI) has made changes to an agreement to sell its Euroports holdings, which will result in a pre-tax loss of 120 million euros on the sale.
Taking a look at some of the stories covered in our earlier reports: Centro Properties (ASX:CNP) said its property values had fallen by $2.6 billion at the end of its financial year.
Gaming machine giants Tabcorp Holdings (ASX:TAH) and Tatts Group (ASX:TTS) have both expressed interest in acquiring betting agency TOTE Tasmania which is owned by the Tasmanian Government.
The best performing sector at close was the Consumer Discretionary index, up 19 points to 1,420; while the worst performing sector was the Real Estate Investment Trust index; down 5 points to 756.
The best performing stock in the S&P/ ASX200 was ConnectEast shares rose 9.21 per cent to 41.5 cents. Shares in FKP Property and Platinum Australia also closed higher.
The worst performing stock was AJ Lucas with shares falling 9.19 per cent to $3.36. Shares in Gindalbie Metals and Energy World Corp also closed lower.
In commodities, gold is trading at $956.05 U.S an ounce and light crude is up 20 cents at $68.58 U.S a barrel.
