Back above 5,900: Aus shares close 0.6% higher

Market Reports

by Jessica Amir

The Australian share market closed above 5,900 level for the first time in a month, closing back where we were around 1 November last year. The ASX200 showed resilience, rising for the second day, shaken off two days of negative leads from Wall Street.

Most of the sectors closed higher today with the miners being the only sector trading in the red after Aluminium fell 0.4 per cent on Monday. While the iron ore price rose 0.9 per cent to US$67.67 and its futures are pointing to a rise of 0.84 per cent. South32 (ASX:S32) copped a fall of 9.6 per cent, Alumina (ASX:AWC) followed.

At the closing bell the S&P/ASX 200 index closed 26 points higher, or 0.6 per cent higher to finish at 5,921.60.

Futures 

The Dow Jones Futures are 59 points higher. The ASX 200 SPI is 41 points higher.

Value of trades

$6.2 billion on volume of 853 million shares at the close of trade. The top three stocks by value were Rio Tinto (ASX:RIO), Commonwealth Bank of Australia (ASX:CBA), and BHP Billiton (ASX:BHP).

Local economic news

Inflation data rose less than expected in the March quarter, according to the ABS as the Consumer Price Index rose 0.4 per cent in quarter, less than the expected 0.5 per cent lift. Year on year inflation rose 1.9 per cent, missing the 2 per cent rise expected

Company news 

Gold producer, Resolute Mining (ASX:RSG) announced its amended guidance of 280 thousand ounces at AISC $1,360 per ounce. As for the March quarter, gold production grew to 67 thousand ounce, slightly better than December quarter. However, it AISC fell from $1,392 to $1,332. Shares in Resolute Mining (ASX:RSG) closed 7.20 per cent lower at $1.23.

Tawana Resources (ASX:TAW) and JV project partner, Alliance Mineral Assets (SGX:40F) announced lithium concentrate haulage has commenced from the Bald Hill lithium Tantalum mines in WA. Qube was contracted to provide loading, moving, storage and ship loading with the ship due at Port of Esperance, WA on 2 May. Shares in Tawana Resources (ASX:TAW) closed 2.47 per cent higher at $0.42.

Fortescue Metals (ASX:FMG) has announced iron ore shipments of almost 39 million tones for the March 2018 quarter. Ore mined for the quarter was down 7 per cent on the same time last year.

Boral (ASX:BLD) has announced March quarter earnings for Boral North America and Boral Australia were below expectations due to challenging conditions and bad weather.

Telecommunications company Vocus Group (ASX:VOC) has decided not to sell its New Zealand business (Vocus NZ).

MYOB (ASX:MYO) shares are trading higher today with the company in the midst of share buyback. It’s already bought back $21 million in share but says it may still buy back 24 million shares.

Medicinal cannabis company, AusCann (ASX:AC8) and its majority shareholder, Canopy Growth Corporation are ramping up to become the leading providers of medical cannabis products in Australia. AusCann has received an import permit and will soon receive finished cannabis oils from Canopy Growth.

IPOs

L1 Long Short Fund (ASX:LSF) started trading today. It’s an absolute return fund, offering investors a highly diversified portfolio of long and short positions. Shares were issued at $2.00, opened at $1.99 and closed at $1.995.

Best and worst performers of the day

The best performing sector was Consumer Discretionary, adding 1.84 per cent to close at 2,772 points. The worst performing sector was Materials, shedding 1.42 per cent to close at 11,798 points.

The best performing stock in the S&P/ASX 200 was Speedcast International (ASX:SDA), rising 4.01 per cent to close at $5.71. Shares in Webjet (ASX:WEB) and Altium (ASX:ALU) followed higher.

The worst performing stock in the S&P/ASX 200 was South32 (ASX:S32), dropping 9.60 per cent to close at $3.58. Shares in Boral (ASX:BLD) and Resolute Mining (ASX:RSG) followed lower.

Asian markets 

Japan’s Nikkei has gained 0.91 per cent, Hong Kong’s Hang Seng has gained 0.95 per cent and the Shanghai Composite has gained 1.87 per cent.

To commodities and the dollar

Gold is trading at $US1,327 an ounce.
Light crude is $0.52 higher at $US68.92 a barrel.
One Australian dollar is buying 76.05 US cents.

Cryptocurrencies

Three of the most traded cryptocurrencies are trading higher: Bitcoin has gained about 5 per cent to $9,267. Ethereum has gained about 8 per cent to $681. Bitcoin Cash has gained about 14 per cent to $1,538.
 

Jessica Amir

Finance News Network
Jessica is the head of news and a senior finance journalist and presents bulletins including the Market Outlook, Market at Midday and Market Wrap. She also interviews ASX CEOs and leading fund managers. She joined FNN in January 2017 with over six years of broadcast journalism experience including with Sky News Business, ABC 1, ABC's The Business and ABC24. She’s also worked as a TV reporter for Prime 7 and WIN News. Jessica has worked in financial planning for over six years with leading wealth managers and in real estate.