The Aussie share market closed 1.4 per cent higher this afternoon, pulled up by the miners and energy companies.
The S&P/ASX200 Index closed 54 points higher at 3,926. On the futures market, the SPI is up 39 points.
Economic news
Spending in the retail sector rose for the second straight month in August. The Bureau of Statistics said retail trade rose 0.6 per cent to a seasonally adjusted $20.813 billion, beating expectations of a lift between 0.2 and 0.5 per cent.
Australian services sector activity also expanded in September for the second straight month. The Australian Industry Group and Commonwealth Bank’s performance of services index dropped 1.8 points to 50.3 points for September.
Company news
Charter Hall Office Real Estate Investment Trust Limited (ASX:CQO) has had its cash offer increasesd by A consortium led by Macquarie Group Limited (ASX:MQG) to $2.43 per unit plus the special distribution, bringing the value up from $1.74 billion to $1.76 billion. Shares in Charter Hall Office Real Estate Investment Trust Limited (ASX:CQO) gained 0.92 per cent, closing at $3.30.
Wesfarmers Limited (ASX:WES) has appointed former Sears Canada boss Dene Rogers as the new MD of its Target Retail division. It comes a week after the retail store announced its to cut five per cent from the prices it pays all suppliers for the next three months, as it battles depressed retail conditions. Shares in Wesfarmers Limited (ASX:WES) lost 0.1 per cent to close at $30.01.
Transfield Services Limited (ASX:TSE), announced an on-market share buyback of 10 per cent of its stock. The move will be fully funded by existing facilities received from last year’s transactions.
The Foreign Investment Review Board has extended Foxtel’s $2billion bid for Austar United Communications Limited (ASX:AUN) by 90 days. Austar said it remained committed to the completion of the deal. Foxtel is 50 per cent owned by Telstra, and News Corp and Consolidated Media Holdings each have a 25 per cent stake.
The ASX Group (ASX:ASX) said it wa looking for ways to improve the disclosure of reserves and resources by mining and oil companies it lists. It released a consultation paper today in response to stakeholder interest in improving standards.
And Newhope Corporation Limited (ASX:NHC) has received preliminary and incomplete proposals from third parties regarding potential changes of control deals, sparking suspicions Xstrata could be a suitor for the thermal coal miner.
Best and worst performers
The best performing sector was energy, gaining 377 points to close at 12,426.
The worst performing sector was real estate investment trusts, losing 4 points to close at 742 points.
The best performing stock in the S&P/ASX200 was Western Areas, lifting 12.86 per cent to close at $4.74. Shares in Transfield and Pacific Brands also finished the day stronger.
The worst performing stock was Murchison Metals, down 12.73 per cent closing at 24 cents. Transpacific and Alacergold also closed lower.
Commodities
Gold is trading at $US1,628.90 an ounce. Light crude is up $2.33 at $US78 a barrel.
