The Australian sharemarket reached a three month high this morning, breaking through the 4,400 barrier. The market is up 0.8% at midday in response to euro zone leaders reaching an agreement to help contain the debt crisis.
The S&P/ASX200 index has risen 34 points and is 4,382. On the futures market the SPI is 22 points higher.
Economic news
It’s the official start of the Commonwealth Heads of Government Meeting (CHOGM) in Perth today.
Company news
Fairfax Media Limited (ASX:FXJ) has withdrawn from the sale of its radio assets, 2UE and 3AW. In a statement to the ASX today, Fairfax says despite strong interest from multiple parties, an acceptable proposal hadn’t been reached. The Australian reports that financing proved problematic. Fairfax shares are 4.42 per cent higher and are trading at $0.945.
Santos Limited (ASX:STO) has agreed to sell its interest in the Evans Shoal field for up to $US350 million. The buyer has not been named, but is said to be a major international exploration and production company already operating in Australia. Santos has a 40 per cent interest in the field. Santos shares are 1.65 per cent lower and are trading at $13.09.
Best and worst performers
The best performing sector is Financials Excluding Real Estate Investment Trusts, gaining 64 points to 4,920. Shares in QBE Insurance Group have increased 5.21 per cent and are trading at $15.34. Shares in Macquarie Group and AMP are also stronger.
The worst performing sector is Telco Services falling 15 points to 1,065. Shares in Telstra have dropped 1.42 per cent and are trading at $3.115. Shares in iiNet have also fallen and Enerji stocks are flat.
New Zealand
The NZSX50 is 36 points stronger.
Taking a look at the top four stocks by turnover, Telecom Corporation of New Zealand is at the top of the list with stock 0.6 per cent higher at $2.525 followed by Fletcher Building, ANZ and Ryman Healthcare.
Gold and the dollar
Gold is trading at $US1,750 an ounce and the Australian dollar is buying $US1.0717 cents.
