The Aussie market had a strong session today as merger activity boosted miners and financials and property stocks also rallied.
The S&P/ASX 200 Index finished 69 points higher at 4,704 while on the futures market, the SPI200’s up 65.
To company news around this afternoon: Murchison Metals (ASX:MMX) upgraded the iron ore resource at its 50% owned Jack Hills project today. The miner said its JORC compliant mineral resource is at 3 billion tonnes which classifies the project as large scale and long life. Murchison said the project now hosts the largest iron resource in the mid-west iron ore province of Western Australia. Murchison Metals shares jumped 5.61% to $2.26 today.
Macquarie Group (ASX:MQG) is reported to be nearing a deal to buy the trading derivatives division of collapsed Luxembourg-based private bank Sal. Oppenheim. European reports have said the price is in the tens of millions and Macquarie’s move will increase its exposure to the European futures market. German based Deutsche Bank is buying most of Sal. Oppenheim’s business but is looking to sell units that are not in wealth management. Macquarie Group shares finished 1.94% higher to $46.71 today.
Also making news: AXA Asia Pacific Holdings (ASX:AXA) chairman Rick Allert told shareholders that National Australia Bank’s (ASX:NAB) trumping $13.29 billion takeover offer is by no means going ahead even though the board has recommended the offer. Mr Allert said the proposal is subject to a number of significant conditions, including due diligence and France’s AXA SA agreeing to buy AXA Asia Pacific’s Asian assets, similar to AXA SA’s deal with unsuccessful bidder AMP.
Atlas Iron (ASX:AGO) says that its Pilbara operations will not be affected by Cyclone Laurence. Rio Tinto (ASX:RIO) made similar comments this morning but BHP Billiton (ASX:BHP) said it expects operations disruptions because of heavy rains. Rio and BHP shares were higher today.
Taking a look at some of the stories covered in our earlier reports: Shares in Gloucester Coal (ASX:GCL) and fellow coal miner Macarthur Coal (ASX:MCC) were placed in a trading halt ahead of an announcement regarding a potential takeover. Macarthur Coal is expected to be making a takeover bid for Gloucester Coal.
Nufarm (ASX:NUF) says it has received a revised takeover offer from China’s Sinochem at a lower price of $12 a share. Nufarm says it is currently seeking to clarify the terms and conditions of the revised offer before it can decide on whether to recommend the offer to shareholders
In the best and worst performers: The best performing sector today was the Real Estate Investment Trust index, which was up 16 points to 871. All of the sectors were positive today but one of the worst performing by percentage points was the Telecommunications index; which gained 7 points to 1,135.
The best performing stock in the S&P/ ASX200 was Minara Resources and shares gained 10.2% to $0.81. Shares in Aquila Resources and Eastern Star Gas also improved.
The worst performing stock was Graincorp after the company gave a disappointing profit outlook and shares sank 7.4% to $5.38. Paperlinx and Pacific Brands shares also closed lower today.
In commodities, gold is trading at $1,094.05 U.S an ounce and since this morning light crude is up 3 cents at $73.75 U.S a barrel.
