Market rebound: Aus shares 0.38% higher at noon

Market Reports

by Carolyn Herbert

It has been a positive turnaround for the Australian share market so far this session, with the local bourse jumping back into the black following positive commentary from Federal Reserve chairwoman Janet Yellen earlier this morning. The ASX200 is currently up 0.38 per cent at noon. The financials space has bounced on possible further rate hikes in the US, with all of the big four banks making some small gains of around 0.1 to 0.3 per cent. However Telcos and Industrials are faring the worst so far, with the likes of Vocus Communications (ASX:VOC) losing some momentum.

The S&P/ASX 200 index is 20 points up at 5,699. On the futures market the SPI is 26 points higher.

Economic news

According to latest figures from the Australian Bureau of Statistics employment has increased for a third straight month. Monthly full-time trend employment increased by 7,000 in Australia in December, however the unemployment rate remained at 5.7 per cent.

Company news

Qantas Airways Limited (ASX:QAN) has announced that its budget airline Jetstar will launch direct flights from Australia to Vietnam. The new flights will link up to 15 Jetstar Pacific destinations from Ho Chi Minh City. Melbourne will commence its first flight to Ho Chi Minh City on the 10th May 2016, Sydney’s first flight will be the following day. Shares in Qantas are trading 1.9 per cent higher at $3.50.

Yowie Group (ASX:YOW) says net sales revenue grew 44 per cent year on year for the December quarter ended 31 December 2016. The chocolate manufacturer says it had a closing cash balance of US$28.9 million with no debt. It also recently completed an advertising campaign resulting in 18.6 million views on Facebook and YouTube. Shares in Yowie are trading down 6.67 per cent at $0.56.

Best and worst performers

The best performing sector is Healthcare, gaining 5.17 per cent to 20,610. Shares in CSL (ASX:CSL) have risen 10.15 per cent and trading at $109.18. Shares in Virtus Health (ASX:VRT) and Nanosonics (ASX:NAN) are also stronger.

The worst performing sector is Telcos, falling 0.77 per cent to 1,802. Shares in Vocus Communications (ASX:VOC) have fallen 3.21 per cent, trading at $4.22. Shares in Telstra (ASX:TLS) and Spark NZ (ASX:SPK) are also lower.

Gold and the dollar

Gold is trading at $US1,204 an ounce.
The Australian dollar is buying $US0.7497.


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