A positive lead from Wall St following the US Federal Reserve’s announcement that interest rates will remain unchanged near zero per cent, and gains in the miners like giants BHP and Rio are helping to support the local market which is trading slightly higher at midday.
The S&P/ASX200 index is 11 points higher at 4,656 and on the futures market the SPI200’s up 32 points.
In company news: The Commonwealth Bank of Australia Ltd (ASX:CBA) says funds under administration rose 1.5% in the December quarter to $193 billion. This however is slower than the 8.3% growth in funds under administration experienced in the September quarter. Funds under management for the three months to December 31, 2009 rose 1% to $149 billion. The bank is to release its half year results on February 10, saying it expects cash net profit after tax of $2.9 billion for the six months to December 31, 2009. Shares in the Commonwealth Bank rose 0.68% to $55.
According to reports Qantas Airways Ltd (ASX:QAN) budget offshoot Jetstar is to launch SMS boarding pass technology where boarding passes and codes will be sent via a standard text message to customers in an effort to improve customer service. According to the Australian Associated Press the airline has also reached a US$3.5 billion deal with International Aero Engines for the supply of engines for a fleet of 50 Airbus A320’s. The announcements were made by Jetstar CEO Bruce Buchanan at an industry conference in Singapore. Shares in Qantas gained 1.76% to $2.89.
Turning now to market indices: The best performing sector at midday is the Real Estate Investment Trust index which is up 13 points at 871. Shares in Westfield Group added 2.87% to $12.56. Shares in Mirvac Group and Stockland are also higher.
The worst performing sector at midday is the Consumer Staples index, down 83 to 7,290. Shares in Woolworths fell 2.16% to $26.22. While shares in AWB and Metcash are also lower at noon.
Looking to New Zealand and the NZSX50 is down 9 points. Taking a look at the top 5 stocks by turnover: ANZ is head of the list stock down 1.07% at $27.70 followed by; Telecom of New Zealand, Kathmandu Holdings, Mainfreight and Sky City Entertainment Group.
To gold and the dollar: Gold is trading at US$1,089.70 an ounce and the Aussie dollar is trading at 89.67 US cents.
