Despite mixed leads from Wall Street, the Australian share market bounced at the open, but has lost a bit of that momentum in the first two hours of trade and is now tracking 0.12 per cent higher at noon. The materials space is doing the bulk of the heavy lifting this session with a solid rebound in the big miners Rio Tinto (ASX:RIO) and BHP Billiton (ASX:BHP). We have also seen a bounce back in the energy space after the price of oil stabilised overnight. However, we are seeing some profit taking in the Consumer Discretionaries space after yesterday’s gains, and Utilities are also in the red.
The S&P/ASX 200 index is 7 points up at 5,764. On the futures market the SPI is 8 points higher.
SEEK Limited (ASX:SEK) has announced that it has signed documentation for the establishment of the Euro Medium Term Note Programme. The online employment portal says the Programme has been put in place to allow the future diversification of SEEK’s debt funding sources to support business growth. The maximum aggregate amount of all notes will not exceed 1 billion Euros. Shares in SEEK are trading down 0.13per cent at $15.00.
Altech Chemicals Limited (ASX:ATC) has announced that it has gained mining approval for its Meckering kaolin deposit in Western Australia. The company, which specialises in High Purity Alumina (HPA) says the approval marks an important stage in the development of the company’s proposed Meckering Kaolin mine, which will provide feedstock for Altech’s proposed Malaysian HPA plant. Shares in Altech Chemicals are trading 3.85 per cent higher at $0.14.
Best and worst performers
The best performing sector is Materials, gaining 1.08 per cent to 9,726. Shares in Brickworks (ASX:BKW) have risen 5.12 per cent and trading at $13.75. Shares in Sandfire Resources (ASX:SFR) and South32 (ASX:S32) are also stronger.
The worst performing sector is Utilities, falling 0.49 per cent to 8,348. Shares in AGL Energy (ASX:AGL) have fallen 0.96 per cent, trading at $25.21. Shares in Duet Group (ASX:DUE) and APA Group (ASX:APA) are also lower.
Gold and the dollar
Gold is trading at $US1,203 an ounce and the Australian dollar is buying $US0.7554.