The Australian share market rallied 2.6 per cent today after Wall Street rose on the back of Federal Reserve plans to keep rates at record lows for the next two years. At home, broad based gains lifted most sectors led by the major miners and banks. National Australia Bank Limited (ASX:NAB) was a standout, closing 6.05 per cent higher.
The S&P/ASX200 Index closed 106 stronger at 4,141. On the futures market, the SPI is 92 points higher.
Economic news
Westpac Banking Corporation (ASX:WBC) and the Melbourne Institute’s Index of Consumer Sentiment fell by 3.5 per cent to 89.6 in August, that followed a fall of 8.3 per cent in July.
The Australian Bureau of Statistics has reported that personal finance commitments dropped 0.8 per cent to $6.993 billion in June. In the same month, total commercial finance was down 6.5 per cent and lease finance was down 7.2 per cent from May.
Company news
Shares in Harvey Norman Holdings Limited (ASX:HVN) jumped today after the electrical goods retailer said it would ditch its underperforming Clive Peters brand. Citing ‘‘an extremely challenging environment’’, Harvey Norman today posted a 3.6 per cent fall in annual like-for like sales, also pulled down by currency depreciation. Total sales in Australia rose 3.3 per cent, while like for like sales in Australia were down 2.8 percent. Shares in Harvey Norman Holdings ended the day 8.89 per cent higher at $1.96.
Shares in Myer Holdings Limited (ASX:MYR) also rose today on news the department store retailer has extended the tenure of its CEO, Bernie Brooks. Mr Brooks current five-year contract was due to come to an end this month but he will now instead stay on until August 2014. Myer also today warned that the short term economic environment is likely to continue to be challenging. Shares in Myer Holdings closed 2.74 per cent up today at $2.25
Reporting season results
Commonwealth Bank of Australia (ASX:CBA) has met expectations of a record full year result, posting a cash profit of $6.8 billion.
Domino's Pizza Enterprises Limited (ASX:DMP) says its full year net profit rose 20 per cent to $21.4 million, coming in 5 per cent higher than guidance.
Share register Computershare Limited (ASX:CPU) says it full year net profit dropped 10.4 per cent to $264.09 million, weighed down by weaker global markets.
Property developer Stockland (ASX:SGP) has met market expectations and reported a 58 per cent jump in its full year net profit, coming in at $754.6 million.
Best and worst performers
Most sectors finished on positive ground today. The best performing sector was the Energy, the index bouncing 498 points to close at 13,454. The worst performing sector was Real Estate Investment Trusts, easing 13 points to close at 722. The best performing stock in the S&P/ASX200 was Linc Energy shares surged 13.92 per cent to close at $2.25. Shares in Iluka Resources and Panoramic Resources also gained today. The worst performing stock was OM Holdings shedding 7.14 per cent to close at $0.78. Shares in Westfield Retail Trust and Charter Hall Group also fell today.
IPO’s
Quintessential Resources (ASX:QRL) started trading at $0.22, and 0.02 cent premium to its issue price of $0.20. Quintessential Resources closed at $0.20.
Commodities
Gold is trading at $US1,751 an ounce. Light crude is up $2.33 cents to $US81.63 a barrel.
