The Australian share market has clawed back around half of yesterday’s losses to be 0.8 per cent higher at noon. Following a positive finish on Wall Street the local banks are stronger, on hopes that Europe’s leaders will reach an agreement to resolve the region’s debt crisis. The miners are mixed, some falling after copper prices eased. BHP Billiton Limited (ASX:BHP, NYSE:BHP, LON:BLT) has risen after reporting record quarterly iron ore shipments from Western Australia.
The S&P/ASX200 index has risen 33 points to 4,220. On the futures market the SPI is 34 points higher.
Economic news
Australia’s economic growth looks to lift next year, that is according to an index that measures the likely pace of economic activity three to nine months into the future. Westpac Banking Corporation (ASX:WBC) and the Melbourne Institute’s Leading Index produced a read of 4.5 per cent in August, coming in above the long-term trend of 3.3 per cent. In the past six months the Index’s growth rate has risen from 2.9 per cent to 4.5 per cent.
Company news
OZ Minerals Limited (ASX:OZL) has posted a slight drop in its third quarter copper production but affirmed that it in on track to reach its target for the full year. The copper and gold miner recorded 27,217 tonnes of copper production in the three months to the end of September and is working towards delivering up to 110,000 tonnes in the 2011 calendar year. Gold production also eased in the quarter, however silver production increased. Shares in OZ Minerals have gained 1.5 per cent and are trading at $11.53.
Webjet Limited (ASX:WEB) achieved a 23 per cent increase in its pre-tax profit for the first quarter of the 2012 financial year and is targeting a 10 per cent rise over the full year. In the three months to the end of September the online travel agency booked a pre-tax profit of $4.65 million. The company says despite general consumer retail caution the overall travel industry is showing signs of modest growth. Shares in Webjet have lifted 2.27 per cent and are trading at $2.25.
Best and worst performers
All sectors have risen: The best performing sector is Consumer Discretionary, gaining 16 points to 1,230. Shares in Harvey Normal Holdings have increased 1.38 per cent and trading at $2.20. Shares in Flight Centre and Tabcorb Holdings are also stronger.
The sector with the smallest gains is Consumer Staples adding 7 points to 7,584. Shares in Goodman Fielder have slipped 0.94 per cent and trading at $0.525. Shares in Foster’s Group and Woolworths are higher.
New Zealand
The NZSX50 is 30 points higher. Taking a look at the top four stocks by turnover, Fletcher Building is at the top of the list with stock up 2.06 per cent at $6.43 followed by Telecom Corporation of New Zealand, Westpac and ANZ.
Gold and the dollar
Gold is trading at $US1,659 an ounce. The Australian dollar is buying $US1.025 cents.
