Claw back attack: Aus shares close 0.18% higher

Market Reports

by Jessica Amir

It has been a day of recovery for the Australian share market today. After diving at the open following weak leads from Wall Street, the local bourse started to recover by midday with health care leading the advancing sectors, and most the market finishing higher.

Throughout the day it was news from ANZ (ASX:ANZ), Qantas (ASX:QAN) and Bega Cheese (ASX:BGA) that put a lid on gains, nevertheless we nudged back over the 5,910 mark. ANZ (ASX:ANZ) shares saw most selling out the big four banks after its full year statutory results missed some analysts’ expectations. While Forestcue Metals (ASX:FMG) underperformed most of the big miners after it reported a drop in mined and processed ore in the first quarter.

At the closing bell the S&P/ASX 200 index closed 11 points up, or 0.18 per cent higher to finish at 5,916.

The value of trades was $5.4 billion on volume of 721 million shares at the close of trade. The top three stocks by value were ANZ (ASX:ANZ), Commonwealth Bank of Australia (ASX:CBA) and NAB (ASX:NAB).

On the futures market the SPI is 7 points up.

Asian markets 

Japan’s Nikkei has added 0.24 per cent, Hong Kong’s Hang Seng has lost 0.3 per cent and the Shanghai Composite has gained 0.4 per cent.

Local economic news

Export prices (Export Price Index) fell 3 per cent in the September quarter, on the back of weakness in coal and iron ore prices. It follows the dip in the June quarter of 5.7 per cent. The import prices (Import Price Index) fell 1.6 per cent in the September quarter, following a 0.1 per cent fall in the prior quarter.

Company news 

Regenerative skin company, Avita Medical (ASX:AVH), together with its 20 consortium parties have been awarded a $2 million injection to commercialise medical and pharmaceutical ideas. Shares in Avita Medical (ASX:AVH) closed 3.51 per cent lower to 6 cents.

Bega Cheese (ASX:BGA) has pulled out of potentially buying Murry Goulburn and says its has no other plans to raise capital.

ANZ (ASX:ANZ) announced its 2017 full year statutory profit rose 12 per cent on the prior corresponding period to $6.41 billion. Despite seeing the lift its earnings per share missed some analysts expectations

Qantas (ASX:QAN) announced total group revenue rose 5.1 per cent in the first quarter, compared to the prior corresponding period to $4.19 billion. Meantime it also informed the market it's expecting first half 2018 profit before tax of between $900 to $950 million.

And Fortescue Metals (ASX:FMG) production costs have dropped 10 per cent to a record low, while its cash on hand increased to US$2.3 billion in the September quarter. And despite it seeing a drop in mined and processed ore, it managed to maintain the same ore shipments as the prior quarter's 44 million tonnes, which was on par with FY18 guidance.

IPOs

Johns Lyng Group (ASX:JLG) started trading today. The building company floated with an issue price of $1.00, opened at $1.15 and it closed at $1.20

Best and worst performers of the day

The best performing sector was healthcare adding 0.8 per cent higher to 23,981.
The worst performing sector was materials, shedding 0.2 per cent lower to 10,764.

The best performing stock in the S&P/ASX 200 was Asaleo Care Limited (ASX:AHY), rising 5.52 per cent higher to $1.53. Shares in Myer Holdings Limited (ASX:MYR) and Evolution Mining Limited (ASX:EVN) also closed higher.

The worst performing stock in the S&P/ASX 200 was Independence Group Nl (ASX:IGO), dropping 6.94 per cent lower to $4.16. Shares in Galaxy Resources Limited (ASX:GXY) and Fortescue Metals Group (ASX:FMG) also closed lower.

Commodities adn the dollar 

Gold is trading at $US1,282 an ounce.
Light crude is $0.30 down at $US52.17 barrel.
One Australian dollar is buying 77.14 US cents.
 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter with Prime7 and Win News.