The Australian share market closed 1.69 per cent higher. The big banks enjoyed strong gains on this Tuesday. The resources sector and a late rally from China also helped to push the local sharemarket to finish at the day’s high.
The S&P/ASX 200 index closed 85 points up to finish at 5,115.
The value of trades was $5.1 billion on volume of 783 million shares at the close of trade. The top three stocks by value were Commonwealth Bank of Australia
(ASX:CBA), BHP Billiton Limited
(ASX:BHP) and Telstra Corporation Limited
(ASX:TLS)
On the futures market the SPI is 83 points up.
Economic news:
The latest ANZ-Roy Morgan consumer confidence index slumped to a 14-month low at 106.7.
NAB’s latest business index also noted its lowest confidence reading since mid-2013, sliding 3 points to 1.
In some upbeat news for the Tiger economy, the National Bureau of Statistics of China said that the Chinese Trade Balance rose to 60.24 billion, beating forecasts.
Company news:
Westpac Banking Corporation
(ASX:WBC) have raised approximately $1.32 billion from its capital notes 3 issuing. The notes qualify as extra Tier 1 Capital under APRA's regulatory framework. UBS Wealth Management and HSBC were the biggest subscribers to the 13 million notes sold at a face value of $100 each. The capital notes 3 will trade on the Australian Securities Exchange on a deferred settlement basis on Wednesday. Shares in Westpac Banking Corporation closed 2.42 per cent up at $30.52.
Billabong International Limited
(ASX:BBG) saw negative investor response to the news that Director Matthew Wilson has resigned. The representative of major shareholder Oaktree Capital Management has resigned due to a potential conflict in Oaktree’s investment portfolio. Billabong have been unable to comment on the precise nature of the conflict but noted that an alternate director for Mr Wilson, Thomas Casarella, had also resigned. Shares in Billabong International Limited closed 1.74 per cent down at $0.57.
Woodside Petroleum Limited
(ASX:WPL) confirmed a $11.65 billion takeover bid for Oil Search.
CIMIC Group Limited’s
(ASX:CIM) construction company Leighton Contractors was awarded an Alliance contract with the Victorian Government.
The GPT Group
(ASX:GPT) announced the resignation of Chief Investment Officer Carmel Hourigan.
Magnis Resources Limited
(ASX:MNS) was granted a Special Mining Licence by the Ministry of Energy and Minerals of Tanzania to further work at its Nachu Graphite Project.
Best and worst performers:
All sectors are in positive territory on this Tuesday. The best performing sector was Energy adding 2.56 per cent to close at 8,801. The sector with the least gains was Health Care, gaining 0.22 per cent to close at 18,212 points.
The best performing stock in the S&P/ASX 200 was Oil Search, rising 17.38 per cent to close at $7.90. Shares in AWE Ltd and UGL also closed higher.
The worst performing stock was Whitehaven Coal, dropping 3.81per cent to close at $1.01. Shares in Woodside Petroleum and Kathmandu also closed lower.
IPOs
Turning to IPOs and Traditional Therapy Clinics Limited
(ASX:TTC) started trading today. The Chinese health clinic owner floated with an issue price of $0.50, opened at $0.50 and is closed at $0.48.
CV Check Limited
(ASX:CV1) also started trading today. The information technology company listed with an issue price of $0.20, opened at $0.20 and a closed at $0.21.
Commodities and the dollar
Gold is trading at $US1,120 an ounce.
Light crude is $1.80 down at $US44.25 a barrel.
The Australian dollar is buying $US0.6961
