Once again, despite weak leads from Wall Street, the Australian share market opened in positive territory. It did briefly lose some momentum, but it’s now back on track, and 0.29 per cent higher at noon.
The Materials sector is doing the bulk of the heavy lifting so far. In particular, gold mining company stocks such as Newcrest, Evolution Mining and Northern Star are doing well. After the US Federal Reserve decided to maintain interest rates, the value of gold went up.
On the other hand, energy shares are lower, on the back of crude oil prices falling overnight.
The S&P/ASX 200 index is 17 points higher at 5,557. On the futures market the SPI is up 12 points.
Company newsNuplex Industries Ltd
(ASX:NPX) has given an update on its takeover by global resins business, Allnex Belgium SA/NV. Allnex has re-filed its Phase 1 application for anti-trust approval with the European Commission, in regards to its proposed Scheme of Arrangement. Nuplex says that the Commission should make a ruling by the first week of September.
Shares in Nuplex are trading up 0.81 per cent at $5.
Sundance Energy Australia Ltd
(ASX:SEA) has entered a strategic alliance with Schlumberger Ltd to re-fracture at least 5 Eagle Ford wells in Texas from the third quarter of 2016. Sundance expects the re-fractures to generate 5-6x initial production uplift for each well, as well as a 40-50% increase in ultimate recoverable reserves.
Shares in Sundance are trading down 3.33 per cent at 14 cents.
Best and worst performersThe best performing sector is Materials, gaining 1.7 per cent to 8,775. Shares in Northern Star have risen 7.01 per cent and trading at $5.04. Shares in St Barbara and Saracen Minerals are also stronger.
The worst performing sector is Energy, falling 0.89 per cent to 8,350. Shares in Beach Energy have fallen 3.31 per cent, trading at 58 cents. Shares in Origin Energy and Santos are also lower.
Gold and the dollarGold is trading at $1,337.55 USD an ounce.
The Australian dollar is buying $US0.7508.
