Market rebound: Aus shares 0.38% higher at noon

Market Reports

by Carolyn Herbert

After two days of Australian investors selling off their holdings, the local share market has finally bounced back and is tracking 0.38 per cent higher at noon. A rebound in commodity prices overnight has spurred the market on, with the materials space doing the bulk of the heavy lifting with the big miners BHP Billiton (ASX:BHP) and Rio Tinto (ASX:RIO) bouncing back between 1 and 1.5 per cent. Not such a good start to trade however for the financials sector, with the majority of the big four banks tracking slightly lower.

The S&P/ASX 200 index is 21 points up at 5,642. On the futures market the SPI is up 33 points.

Economic news

Manufacturing activity in Australia has softened for 2017, according to latest figures from the AI Group. PMI fell by 4.2 points to 51.2 in January. It’s the first time in five months that PMI has fallen.

Company news

Sirtex Medical Limited (ASX:SRX) says legal proceedings have been commenced against it in the Federal Court of Australia by one of its former shareholders. Law firm, Portfolio Law acts for Mr Todd Hayward who claims to have lost money after a sharp decline in the company’s share price in December. It’s alleged Sirtex engaged in misleading and deceptive conduct and was in breach of its continuous disclosure obligations. Shares in Sirtex Medical are trading down 2.64 per cent at $14.00.

Senex Energy Limited (ASX:SXY) has announced that specialist energy investor EIG Global Energy Partners will become a substantial holder of the company. Senex and EIG will work together to establish a funding model to accelerate the company’s flagship Western Surat Gas Project. Following the completion of a placement and a share purchase plan EIG will hold around 12 per cent of Senex. Shares in Senex Energy are trading up 5.36 per cent at $0.29.

Best and worst performers

The best performing sector is Utilities, gaining 1.1 per cent to 8,046. Shares in Infigen Energy (ASX:IFN) have risen 5.5 per cent and trading at $1.05. Shares in AGL Energy (ASX:AGL) and AusNet Services (ASX:AST) are also stronger.

The worst performing sector is Discretionaries, falling 0.1 per cent to 2,057. Shares in Dominos Pizza (ASX:DMP) have fallen 2.14 per cent, trading at $58.18. Shares in Sky Network (ASX:SKT)and Ardent Leisure (ASX:AAD) are also lower.

Commodities and the dollar

Gold is trading at $US1,211 an ounce.
The Australian dollar is buying $US0.7571.




 

Subscribe to our Daily Newsletter?

Would you like to receive our daily news to your inbox?