Aussie shares followed the lead from U.S. market overnight and closed higher as gold, oil and metal prices strengthened resource stocks.
The S&P/ASX 200 Index finished 43 points higher at 4,762 while on the futures market, the SPI200’s up 38.
To company news around this afternoon: Caltex Australia (ASX:CTX) has had its $300 million acquisition of ExxonMobil's Australian petrol stations rejected by The Australian Competition and Consumer Commission. The ACCC said the deal was likely to cause substantially lessened competition across a range of fuel markets after months ago highlighting concerns about 53 of the 300 sites. However there is still some possibility of Caltex buying only some of the petrol stations. Caltex shares lost 1.35% to $9.47.
Sino Gold Mining (ASX:SGX) shareholders today voted to allow Canada's Eldorado Gold Corporation to take over the company. Sino Gold chairman Jim Askew said 99.81 per cent of votes were in favour of the merger proposal. He said the takeover would give Eldorado a valuable asset as the only international gold company currently operating in China which is the largest gold producing country in the world. The last step of the takeover is Federal Court approval. Sino Gold Mining shares jumped 5.94% to $8.38.
Also making news: Murchison Metals (ASX:MMX) shares jumped today and traded at triple their average volume on speculation of an announcement about a big increase in the resource at its co-owned Jack Hills iron ore project.
Macarthur Coal Limited (ASX:MCC) said today that coal sales have recovered from the global economic downturn saying traditional customers resumed normal buying volumes in the September quarter and are seeking additional coal. The company also said it is evaluating projects to fill its increasing infrastructure capacity so it can double production in the next 5 years.
Taking a look at some of the stories covered in our earlier reports: Seven Network (ASX:SEV) has lost its appeal on the long running court case in which it is attempting to sue media companies including News Ltd, Telstra, Foxtel and Consolidated Media Holdings who it believed had conspired to ‘kill’ the company’s sports channel C7.
Nufarm (ASX:NUF) shares lost ground after the company said China’s Sinochem won’t meet tomorrow’s deadline for a takeover agreement. Sinochem said it is still undertaking due diligence and it will finalise its bid price after the due diligence process is complete. Nufarm said Sinochem is still keen on the deal and hasn’t proposed a lower bid price than the $13 a share offer price.
In the best and worst performers: The best performing sector today was the Materials index, which was up 262 points to 12,542. The worst performing by percentage points was the Real Estate Investment Trust index; which lost 13 points to 864.
The best performing stock in the S&P/ ASX200 was Murchison Metals as investors hope for a resource upgrade and shares gained 9.88% to $1.89. Shares in St Barbara and Avoca Resources also improved.
The worst performing stock was Nufarm on disappointment about the Sinochem deadline delay and shares lost 6.49% to $10.51. iSoft and Abacus Property shares also closed lower today.
In commodities, gold is trading at $1,213.40 U.S an ounce and since this morning light crude is up 5 cents at $78.42 U.S a barrel.
