Following weak leads, the Australian market has shrugged off overnight falls in the commodities space to move higher, the local bourse sitting 0.3 percent up at noon. Promising earnings from NAB has lifted the financials space, but it looks like another down day for BHP following yesterday’s 9 percent freefall.
The S&P/ASX 200 index is 18 points up at 5,289. On the futures market the SPI is 15 points higher.
Economy news
The ABS has reported a 0.4 percent rise in retail sales in March. Meanwhile the trade deficit has narrowed to $2.16 billion.
Company news
Fonterra Co-operative Group Limited
(ASX:FSF) says Fonterra Australia has revised its farmgate milk price from $5.60 per kgMS to $5 per kgMS for the current season. Fonterra Australia is also offering its suppliers an interest-bearing support loan of up to 60c per kgMS that is linked to a supply commitment and is repayable from FY18. Shares in Fonterra are trading up 0.56 per cent at $5.39.
Rio Tinto Limited
(ASX:RIO) incoming Chief Executive Jean-Sébastien Jacques has told shareholders the macro-economic environment is likely to remain tough for the foreseeable future. Speaking at the miner’s AGM, Jacques said it is challenging times for the sector and Rio Tinto as a company. Shares in Rio Tinto are trading up 1.02 per cent at $48.34.
Best and worst performers
To the best and worst performers: The best performing sector is Energy, gaining 1.8 per cent to 8,087. Shares in Origin Energy have risen 3.74 per cent and trading at $5.27. Shares in Worley Parsons and Caltex are also stronger.
The worst performing sector is Healthcare, falling 1.5 per cent to 20,483. Shares in Australian Pharmaceutical Industries have fallen 4.39 per cent, trading at $1.96. Shares in Mesoblast and CSL are also lower.
Gold and the dollar
Gold is trading at $US1,279 an ounce.
The Australian dollar is buying $US0.7484
