The Australian sharemarket has ended the day on a positive note. Strong reporting results from the financial sector, Wesfarmers and Qantas pushing stocks higher.
The S&P/ASX200 Index rose 8 points to close at 4,938. On the futures market, the SPI is 2 points higher.
Economic news: The Reserve Bank has revised its expectations for inflation upward from 2.5 to 3 per cent. Crop damage from the Queensland floods and cyclone Yasi the reason for the revision.
Company news: Wesfarmers Ltd (ASX:WES) booked a net profit of $1.173 billion after tax for the six months to the end of December. That’s up from $879 million the previous corresponding period. First half profit lifted 33 per cent thanks to higher coal prices and improvements to its Coles supermarkets. Earnings lifted across all divisions except for the Target discount department store. Shares in Wesfarmers fell 0.26 per cent to close at $34.25.
Austar United Communications Ltd (ASX:AUN) has sold spectrum to NBN Co. Austar said it would receive $120 million from the company building Australia’s broadband network. The payment comprises of $58 million for the subsidiary that holds the spectrum licences and $62 million for the assignment of Austar’s debt. The companies say the deal will make it easier to provide wireless services in regional areas. The first services are scheduled for mid-2012. Shares in Austar advanced 3.68 per cent to close at $0.985.
Country Road Ltd (ASX:CTY) reported net profit rose 4.2 per cent to $9.4 million for the six months to December 31, despite challenging trading conditions due to a drop in consumer spending.
ConnectEast Group (ASX:CEU) reduced its net loss for the six months to December 31 to $2.7 million, from $43.3 million for the corresponding period the year prior.
Qantas Airways (ASX:QAN) reported a four fold increase in first half net profit to December 31 of $241 million.
Santos Ltd’s (ASX:STO) delivered a full year net profit of $500 million, that’s up 15 per cent from the $434 million achieved in 2009.
Best and worst performers: The best performing sector at close was Telco Services with the index rising 11 points to close at 1,017. The worst performing sector was Health Care, the index falling 204 points to close at 8,828. The best performing stock in the S&P/ASX200 was OceanaGold Corporation, shares advanced 6.03% to close at $2.99. Shares in Qantas Airways and Mincor Resources NL also gained today. The worst performing stock was CSL, shares slid 3.57 per cent to close at $35.70. Shares in Infigen Energy and GUD Holdings also closed weaker today.
In commodities, gold is trading at $US1,378 an ounce. Light crude is up $0.09 to $US85.08 a barrel.
