Strong offshore leads have pushed the Australian share market higher for a fifth straight day. Sentiment has been given a boost by a pledge from Europe’s leaders to bolster the region’s banks. Most sectors have gained, with the retailers and miners leading the pack.
The S&P/ASX200 index has lifted 22 points to 4,223. On the futures market the SPI is 31 points higher.
Economic news
Australian businesses felt more confident last month, that is according to the National Australia Bank Limited's (ASX:NAB) index of business confidence. The index lifted to negative 2 in September from a revised negative 9 the month before. NAB chief economist, Alan Oster, says the turnaround in confidence suggests less concern about the impact of the global influences on business activity.
Company news
Australia’s largest supermarket, Woolworths Limited (ASX:WOW), has revealed the details of its new CEO’s contract, and he’ll be taking home almost 16 per cent less than his predecessor. Chief executive officer, Grant O'Brien, will take home a base salary of $1.9 million in his first year with the opportunity to double the figure through performance-based incentives. Mr O'Brien replaced Michael Luscombe in the top job at the beginning of this month. Last year Mr Luscombe's remuneration totaled $8.33 million, including his base salary and cash bonus. Shares in Woolworths have fallen 1.29 per cent and are trading at $24.53.
Shares in Minemakers Limited (ASX:MAK) have risen after announcing it will sell its 80 per cent stake in one of its Western Australian magnetite operations in an all scrip deal. Australia Minerals and Mining Group Limited (ASX:AKA) will issue five million ordinary fully paid shares to Minemakers and grant two million options in exchange for the West Southdown Project stake. Shares in Minemakers have risen 1.43 per cent and are trading at $0.355.
Best and worst performers
Most sectors are higher: The best performing sector is Consumer Discretionary, adding 14 points to 1,226. Shares in Flight Centre have risen 4.9 per cent and trading at $18.535. Shares in Tabcorp Holdings and Fairfax Media are also stronger.
The worst performing sector is Consumer Staples easing 31 points to 7,553. Shares in Goodman Fielder have lost 1.9 per cent and trading at $0.515. Shares in Woolworths are lower while shares in Foster’s Group are steady.
New Zealand
The NZSX50 has firmed 13 points. Taking a look at the top four stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock up 0.59 per cent at $2.575 followed by Fletcher Building, ANZ and APN News & Media.
Gold and the dollar
Gold is trading at $US1,677 an ounce. The Australian dollar is buying 99.75 US cents.
