Following positive leads from overseas markets, the Australian share market opened in the black and is currently tracking 1.12 per cent higher at noon. The star performer so far is the energy space after a bounce in the oil price overnight, but not such a good session for the Telcos.
The S&P/ASX 200 index is 55 points higher at 5,031. On the futures market the SPI is up 61 points.
Company news Fortescue Metals
(ASX:FMG) has released its March 2016 quarterly production results, reporting shipments of 42 million tonnes of iron ore with cash production costs of US$14.79 per wet metric tonne, a reduction of six per cent over the December 2015 quarter and 43 per cent compared to the prior comparable period. The company increased cash balances to US$2.5 billion at 31 March 2016 and lowing net debt to US$5.9 billion. The company says the March quarter reinforces Fortescue’s consistent delivery of outstanding results across all areas of the business. Shares in Fortescue are trading up 4.73 per cent at $3.10.
Best and worst performers
The best performing sector is Energy, gaining 2.7 per cent to 7,759. Shares in Worley Parsons have risen 7.98 per cent and trading at $6.09. Shares in Beach Energy and Whitehaven Coal are also stronger.
The worst performing sector is Telcos, falling 0.14 per cent to 1,909. Shares in Telstra have fallen 0.29 per cent, trading at $5.15. Shares in TPG are lower and Spark NZ are higher.
Gold and the dollar
Gold is trading at $US1,254 an ounce.
The Australian dollar is buying $US0.7689.
