The Australian share market has risen 0.9 per cent after Wall St closed at its strongest point is almost three years. Locally, banks and miners have fuelled the gains with energy stocks also lifting on higher oil prices. The Australian dollar has continued its record run, hitting through the 107 US cent mark.
The S&P/ASX200 index has risen 36 points and is 4,895 at noon. On the futures market the SPI is 43 points higher.
Economic news: The Australian Bureau of Statistics has reported that the nation’s producer price index at the final stage of production increased 1.2 per cent in the March quarter, representing an annual increase of 2.9 per cent. The figure compares with just a 0.1 per cent lift in the December quarter.
Company news: Caltex Australia Ltd (ASX:CTX), has blamed volatile refining margins and the shutdown of a refinery in Queensland, due to the floods, for a fall in its first quarter operating profit. In the first three months of this year Australia's only listed oil refiner reported an operating profit of $77 million, 41 per cent down from the $130 million recorded a year earlier. CEO Julian Segal says short term volatility has been caused by the tragic events in Japan and the unrest in Libya. However, the Asian supply demand balance continues to improve, supporting a gradual improvement in the underlying refiner margin. Shares in Caltex Australia have eased 0.7 per cent at noon and are trading at $14.15.
Origin Energy Ltd (ASX:ORG) has entered a trading halt, pending an announcement regarding its $35 billion Australia Pacific liquefied natural gas project in Queensland. Origin and joint venture partner ConcoPhillips will make the announcement in Brisbane with Resources Minister Martin Ferguson at a scheduled press conference at 4.15pm. According to reports, China's Sinopec is reportedly due to confirm its 20 year supply deal, and, its purchase of a 15 percent stake in the project this afternoon. Origin is due to make a final investment decision on Australia Pacific LNG this year. Shares in Origin Energy last traded at $16.23 before entering into a trading halt.
To the best and worst performers, all are trading in positive territory: The best performing sector is Financials Excluding Real Estate Investment Trusts, adding 45 points to 5,357. Shares in Challenger have gained 1.46 per cent and trading at $4.88. Shares in IOOF Holdings and Westpac have also improved at midday. The sector with the smallest gains is Industrials firmed 22 points to 3,685. Shares in Hastie Group have fallen 2 per cent and trading at $0.245. Shares in Qantas Airways and CSR have also eased at noon.
New Zealand: The NZSX50 has lifted 12 points. Taking a look at the top four stocks by turnover, Fletcher Building is at the top of the list with stock up 1.32 per cent at $9.20 followed by Ebos Group, Telecom Corporation of New Zealand and Telstra.
Gold and the dollar: Gold is trading at $US1,506 an ounce and the Aussie dollar is buying $US1.0744 cents.
