It has been a stellar day for the local share market, with stocks following a positive lead from Wall Street and opening in the black; then continuing that momentum throughout the session and closing the day 2.25 per cent higher. While all sectors enjoyed a session of gains it was the materials and energy spaces that were the star performers, with the big miners BHP and Rio Tinto doing the bulk of the heavy lifting. Also some relief for the financials space; with all of the big four banks making solid gains.
The S&P/ASX 200 index closed 110 points up to finish at 4,992.
The value of trades was $6 billion on volume of 1.04 billion 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 ANZ Banking Group
(ASX:ANZ).
On the futures market the SPI is 112 points higher.
Economic news
According to latest data from the Australian Bureau of Statistics unemployment has risen in Australia to 6 per cent, surprising economists. It’s estimated that 7,900 jobs were lost in January, compared to an increase of 15,000 that was expected by a Reuters survey of 19 economists.
Company news Estia Health Limited
(ASX:EHE) has released its FY2016 results and has reported a 43 per cent increase in revenue to $196.2 million. Net profit was also up 16 per cent to $23 million. The heath-care company has attributed the results to a strong-acquisition based strategy. Shares in Estia Health closed 10.99 per cent lower at $5.67.
Telstra Corporation Limited
(ASX:TLS) has announced a 0.8 per cent increase in net profit to $2.1 billion for the six months ended 31 December 2015.
Origin Energy Limited
(ASX:ORG) has reported a statutory loss of $254 million for the first half of FY2016 on the back of tumbling oil prices.
Treasury Wine Estates Limited
(ASX:TWE) has posted a 42 per cent rise in net profit to $60.6 million in its interim results for the six months to December 31.
Best and worst performers
The best performing sector was Energy adding 5.3 per cent to close at 7,856. The worst performing sector was Healthcare, losing 0.01 per cent to close at 19,159 points.
The best performing stock in the S&P/ASX 200 was AWE, rising 23.75 per cent to close at $0.49. Shares in Slater and Gordon and Whitehaven also closed higher.
The worst performing stock was Estia Health, dropping 10.99 per cent to close at $5.67. Shares in Covermore and Credit Corp also closed lower.
Commodities and the dollar
Gold is trading at $US1,209 an ounce.
Light crude is $2.01 higher at $US32.98 a barrel.
The Australian dollar is buying $US0.7156.
