The Australian share market opened shot up at the open on Thursday, with the utilites, consumer discretionary, energy and financials stocks leading way with most of the sectors in positive territory. The S&P/ASX 200 index is 0.69 per cent higher or 42 points up at 6,080 points. And on the futures market the SPI is 43 points higher, suggesting a further rise.
From the outset, we had positive leads to follow from US stocks. Despite the bumpy ride, Wall Street snapped its two-day losing streak on the back of stronger company earnings.
Here the energy sector rebounded on the back of the oil price lifting with the likes of Beach Energy
(ASX:BPT) and Worley Parsons
(ASX:WOR) seeing stellar gains, while other commodity prices also bounced back, propping up the mining space. While retailers like, Kogan.com
(ASX:KGN), Flight Centre
(ASX:FLT) and Myer
(ASX:MYR) are also charging higher.
Local economic newsBuilding approvals fell by a massive 20.0 per cent in December, driven by a fall in private dwellings excluding houses. The market was expecting a fall of 8 per cent month on month.
Meantime, export prices rose more than market expected, so too did import prices.
And fresh figures revealed Australian manufacturing had a strong start in2018 and better than the market expected. AIG’s price manufacturing index rose to 58.7 in January, indicating faster growth than at the end of 2017 (as the index hit 56.2). It’s important to remember, readings above 50 indicate expansionary activity.
Company news The Commonwealth Bank of Australia
(ASX:CBA) has come out in response to the prudential regulator’s (APRA) progress report about its inquiry saying it’s been fully cooperative and provided APRA with access to its employees and documents. CBA acknowledged there are aspects of its culture that could be improved and it’s been focused on upgrading its governance, procedures and compliance. The Prudential Inquiry Panel will hand down a final report with recommendations and findings at the end of April 2018. Its shares are trading 1 per cent higher at $79.71.
BT Investment Management
(ASX:BTM) appointed a new head of BTIM Australia, Richard Brandweiner, who will take over the helm as CEO from retiring Michael Bargholz who will leave at the end of this finanical year (30 June 2018). The Group CEO of BTIM Emilio Gonzalez says, while he is disappointed to see Michael go, the new Australian CEO, was named 2016’s CIO of the year when he led as CIO for First State Super. Shares in BT Investment Management
(ASX:BTM) are trading 0.4 per cent higher at $11.06.
Best and worst performersThe best performing sector is utilites adding 1.2 per cent to 7,971 points while the worst performing sector is telcos, shedding 0.6 per cent to 1,310 points.
The best performing stock in the S&P/ASX 200 is G.U.D. Holdings Limited
(ASX:GUD), rising 4.9 per cent to $012.86, followed by shares in Beach Energy Limited
(ASX:BPT) and Invocare Limited
(ASX:IVC).
The worst performing stock in the S&P/ASX 200 is Tassal Group Limited
(ASX:TGR), dropping 3.1 per cent to $3.81, followed by shares in Lynas Corporation Limited
(ASX:LYC) and Australian Pharmaceutical Industries Limited
(ASX:API).
Gold and the dollar Gold is trading at $US1,344 an ounce.
One Australian dollar is buying 80.47 US cents.
CryptocurrenciesThe three most traded cryptocurrencies are trading higher.
Bitcoin has gained 2.5 per cent to $10,237
Ethereum gained about 6.3 per cent to $1,126
And Tether gained about 0.5 per cent to $0.99