Australian stocks closed mildly firmer. Gains were mostly wiped out in afternoon trade by losses in the consumer discretionary and utilities sectors. The rising gold price continues to boost gold stocks and the banks and property stocks generally closed higher.
The S&P/ASX 200 Index closed 10 points higher at 4,749 while on the futures market, the SPI200’s up 3.
The economic news of the day was the Australian Bureau of Statistics saying the average weekly earnings for full time employees in the three months to August rose 0.9% from the previous quarter, to an annual growth rate of 5.2%.
To company news around this afternoon: Brambles (ASX:BXB) gave a trading update for the first four months of the financial year and said its CHEP pallet business outside the United States and its Recall documents management arm had performed strongly. However revenue was 3% lower compared to a year ago because it is yet to see a widespread pickup in activity. Brambles shares improved 0.6% to $6.76 today.
Beach Petroleum (ASX:BPT) announced that it has signed a deal that could see it joint develop its gas projects in South Australia. The development partner is Rentech and Beach said the companies will work together to explore the feasibility of using the Rentech Process to commercialise Beach's gas assets which could lead to the establishment of a facility that produces fuels and specialty chemicals. Beach Petroleum shares finished the session flat at $0.835.
Also making news: Mirvac Group (ASX:AMC) had its annual general meeting today and said that it's in a position to grow. The property group told shareholders that its two capital raisings this year had strengthened the company's balance sheet but at the meeting, management was forced to defend pay increases to some directors after angry shareholders challenged the move.
Amcor Group (ASX:AMC) said it plans to raise $US850 million by issuing fixed coupon notes to the U.S. private placement market. The packaging company said the move will allow it to diversify its debt sources for its $3.4 billion worth of debt.
Taking a look at some of the stories covered in our earlier reports: BHP Billiton’s (ASX:BHP) CEO Marius Kloppers made comments that Australia will need to seek foreign investment to help build resource projects big enough to keep up with demand from China.
Australia and New Zealand Banking Group (ASX:ANZ) has doubled its $750 million hybrid capital raising to $1.7 billion.
In the best and worst performers: The best performing sector at the close was the Financials excluding the Real Estate Investment Trust index, up 33 points at 5,494 while the worst performing by percentage points was the Utilities index; which lost 52 points to 4,225.
The best performing stock in the S&P/ ASX200 was Aquarius Platinum and shares rose 7.17 per cent to $6.28. Shares in Insurance Australia Group and Equinox Minerals also improved.
The worst performing stock was Karoon Gas Australia as shares lost 4.43% to $7.55. Paladin Energy and SMS Management & Technology shares also closed lower today.
In commodities, gold is trading at $1,141.80 U.S an ounce and since this morning light crude is down 7 cents at $79.51 U.S a barrel.
