The Australian share market closed 0.84 per cent higher this afternoon, with almost all sectors in positive territory. Miners and energy pulled the market up after Wall Street recovered in late trade.
The S&P/ASX200 Index closed 34 points higher at 4,073. On the futures market, the SPI is currently up 41 points.
Economic news
The National Australia Bank’s business confidence index fell 10 points to -8 in August, dipping below zero for the first time since mid 2009. The NAB’s business conditions index pulled back slightly last month, easing 2 points to -3 points in August.
Company news now
Sundance Resources Limited (ASX:SDL) shares tumbled today on the news that the Australian Securities and Investments Commission is investigating executives at Hanlong Mining, which is a majority stakeholder in Sundance, for alleged insider trading. Passports have been suspended and freezing orders placed on the company’s managing director until September 22 when a case brought by ASIC will return to the Supreme Court. Shares in Sundance Resources Limited (ASX:SDL) lost 10.11 per cent, closing at 40 cents.
Westfield Group (ASX:WDC) is scheduled to be opening the doors today at its £1.4 billion Stratford City shopping centre in east London. The centre will be Europe's largest urban shopping centre, home to more than 300 shops and 70 restaurants, as well as the UK’s biggest casino. The shopping centre will also provide the only access to the London Olympic Stadium. Large screens will be displayed along walkways to show the main sporting events. Shares in Westfield Group (ASX:WDC) closed 1.46 per cent lower today at $7.42.
Rio Tinto Limited (ASX:RIO) said that because the government hasn’t released regulations along with its carbon tax, users and suppliers of energy can’t negotiate contracts. In a submission to the Department of Climate Change and Energy Efficiency, the miner also said the carbon tax will disadvantage Australian businesses as they will be exposed to some of the highest carbon costs in the world.
The subsidiary of Leighton Holdings Limited (ASX:LEI), Habtoor Leighton Group (HLG), has won a $US300 million contract to expand a road in the Arab state of Oman. The road will go from two to four lanes, for 75 kilometres.
Qantas Airways Limited (ASX:QAN) may be calling its new premium Asian carrier ‘RedQ’. Fairfax Media reports the new carrier will primarily target business executives, and points out that as red is the symbol of good luck in China, it could be a particularly strategic move for the new market.
And BHP Billiton Limited (ASX:BHP) has been warned by Western Australian premier Colin Barnett that won’t be allowed to expand its iron ore operations unless it accepts the government’s plan to raise mining royalties. The premier told the Australian Financial Review that the miner has “got no choice” but to understand the government.
The best and worst performers
The best performing sector was energy, gaining 330 points to close at 12,710.
The worst performing sector was real estate investment trusts, falling almost one point to close at 751 points.
The best performing stock in the S&P/ASX200 was Gindalbie, lifting 9.17 per cent to close at 65 cents. Shares in Nufarm and Kagara finished the day stronger.
The worst performing stock was Sundance, closing as we saw earlier, at 40 cents. OM Holdings and Intrepid also closed lower.
Commodities
Gold is trading at $US1,825 an ounce. Light crude is up 63 cents at $US88.82 a barrel.
