The Australian share market closed higher today lifted by gains in the resource stocks on the back of higher commodity prices. Better than expected labour force data also fueled optimism for the strength of the local economy.
The S&P/ASX 200 Index finished 30 points higher at 4,898 while on the futures market, the SPI200’s up 27.
Recapping the big economic news of the day: The ABS released data showing a fall in the unemployment rate to 5.5% in December, down from 5.6% in November.
To company news around this afternoon: Global miner Rio Tinto Ltd (ASX:RIO) has reported strong 4th quarter iron ore production, driven by continually high demand from China. Rio Tinto’s global iron ore production rose 49% compared with the 4th quarter of 2008. Global iron ore sales set a new quarterly record of 61 million tonnes. The company’s iron ore production exceeded 217 million tonnes in 2009, a 13% increase on 2008, setting a new record. In the Pilbara, Rio says it achieved new records in production for both the quarter and year, with iron ore output of 56 million tonnes for the quarter up 54% on the fourth quarter of 2008. Shares in Rio Tinto closed 2.63% higher at $79.15
Transfield Worley Services, a 50/50 joint venture between Transfield Services (ASX:TSE) and WorleyParsons, (ASX:WOR), has agreed to extend an agreement with Woodside Petroleum Ltd (ASX:WPL) for the delivery of brownfield project and maintenance services, to Woodside’s North West Shelf operations. The Heads of Agreement covers the continued delivery of brownfield project services, to Woodside’s Western Australian offshore and onshore gas facilities for a further four years. Shares in Transfield Services closed steady at $4.16 and shares in WorleyParsons closed 1.12% lower at $25.70
Also making news: Rio Tinto’s Coal & Allied Industries Ltd (ASX:CNA) has reported total coal production of 6.96 million tonnes for the December quarter up 7.2% on the previous corresponding period.
Top Telco Telstra Corp (ASX:TLS) has increased the data allowance on its wireless broadband plans and abolished charges for excess usage. Despite this move the Telco still trails the download allowance of its major rivals.
Macquarie Office Trust (ASX:MOF) has sold its Frankfurt property for $61.7 million today.
And Gold miner St Barbara Ltd (ASX:SBM) says it produced 55,104 ounces of gold in the December 2009 quarter in line with expectations.
In the best and worst performers: The best performing sector at close was the Materials index, which was up 161 points to 13,117. One of the worst performing by percentage points was the Consumer Discretionary index; which lost 6 points to 1,617.
The best performing stock in the S&P/ASX200 was Lynas Corp. Shares rose 5.69% to $0.65. Shares in Atlas Iron and Iluka Resources also closed higher today.
The worst performing stock was Karoon Gas Australia, shares lost 24.31% to $8.00. Dominion Mining and APN News and Media shares also closed lower today. In commodities, gold is trading at $1,141.80 U.S an ounce and light crude is up 27 cents at $79.92 U.S a barrel.
