Following gains in the Dow and on European markets overnight, the local share market is higher at midday, driven up by gains in bank stocks and resource stocks on stronger commodity prices.
The S&P/ASX200 index is up 36 points at 4,776 and on the futures market the SPI 200’s up 29 points.
In economic news: NAB’s monthly business survey of over 400 firms showed that its measure of business confidence fell 4 points to 14 points in September. The measure of business conditions fell one point to a read of 3 points for the month.
Making headlines at midday: Fairfax Media Ltd (ASX:FXJ) has unanimously chosen Roger Corbett as chairman effective upon the retirement of the present chairman Ronald Walker. After much speculation and tension within the board Mr Walker announced last month that he would be cutting short his employment as chairman. He had initially planned to stay on until mid-2010, but said he would not re-stand for election at the company’s annual general meeting in November. Mr Walker says he is pleased that deputy chairman Roger Corbett would be stepping into his role when he leaves. Fairfax Media shares rose 2.06 per cent to $1.735.
Gold miner St Barbara Ltd (ASX:SBM) says it produced 58,830 ounces of gold for the September quarter at a cost of $829 an ounce. The company says production and operating costs have met expectations and it is on track to meet annual guidance of between 205,000 to 240,000 ounces of gold. St Barbara says it expects to meet this target at a cost of $745 to $820 an ounce, and also says its capital expenditure guidance for fiscal 2010 remains unchanged at $85 million to $95 million. St Barbara shares advanced 3.17 per cent to $0.325.
Turning now to market indices: The best performing sector at midday is the Financials excluding Real Estate Investment Trust index which gained 70 points to 5,785. Shares in Platinum Asset Management advanced 3.72 per cent to $6.13. Shares in ANZ and the Commonwealth Bank are also higher at midday.
The worst performing sector at midday is the Telco Services index, down 6 points at 1,103. Shares in Singtel lost 0.41 per cent to $2.45. Shares in Telstra and Macquarie Telecom Group are also lower.
Looking to New Zealand and the NZSX50 is 4 points lower. Taking a look at the top five stocks by turnover on the NZSX50: Telecom of New Zealand heads the list, stock down 0.39 per cent at $2.57, followed by Fletcher Building, ANZ, South Canterbury Finance and Westpac.
To gold and the dollar: Gold is trading at $1054.55 US an ounce and the Aussie dollar is trading at 90.84US cents.
