The Aussie sharemarket is up almost half a per cent. It dipped in the morning and again after lunch but quickly fought back at close.
Today, the S&P/ASX 200 Index rose 18 points to finish at 4,120. On the futures market, the SPI is down 20 points.
Economic news
RP Data-Rismark's home price index shows house prices fell a seasonally adjusted 0.5 per cent in October, after a 0.2 per cent dip in the previous month. Dwelling prices fell a seasonally adjusted 4 per cent for the 10 months to the end of October.
New home sales rose a seasonally adjusted 5.5 per cent to 7,611 units in October however, following a 3.5 per cent fall in September, according to the Housing Industry Association.
New private capital expenditure has beaten expectations in the third quarter. The Australian Bureau of Statistics says CAPEX rose 12.3 per cent in real terms, seasonally adjusted, in the September quarter. The median market forecast was for a rise of 8.0 per cent.
Company news
Metcash Limited (ASX:MTS) has been given the green light to take over Franklins supermarkets. The Federal Court today dismissed an appeal against the transaction by the Australian Competition and Consumer Commission (ACCC), who delayed the process because it said the acquisition would lessen competition. Shares in Metcash Limited (ASX:MTS) closed 1.51 per cent higher today at $4.03.
Bradken Limited (ASX:BKN) has completed a $US200 million US private bond placement. The company’s aiming to diversify funding sources and extend the maturity of its debt. The issue comprises $US50 million of seven-year notes and $US100 million of 10-year notes with a margin of 2.75 per cent over the equivalent US Tresuries. A further $US50 million of 12-year notes were issued with a margin of 2.85 per cent over US Treasuries.
Bradken Limited (ASX:BKN) shares closed 3.24 per cent higher at $7.33.
The future for Centro Retail Group (ASX:CER) and Centro Properties Group (ASX:CNP) is still uncertain, despite security holders approving amalgamation plans. The final approval’s in the hands of the NSW Supreme Court. Centro retail chairman Peter Day says there’s no indication when the decision’s going to be made, but the company’s seeking approval before December 15.
New Hope Corporation Limited’s (ASX:NHC) quarterly activities report says its received “a number” of binding takeover offers. It’s believed several global miners have shown interest, including India’s Tata Steel Limited. (BOM:500470)
Lynas Corporation Limited (ASX:LYC) says the fall in prices for rare earths over recent months is a healthy development for the industry. Chairman Nicholas Curtis told today’s AGM prices are still very satisfactory, but much more sustainable for customers.
Gloucester Coal Limited (ASX:GCL) expects annual coal production to rise six-fold to 12 million tonnes in less than 10 years. The miner says it’s aiming to double production over the next four years, contingent on the delivery of well-defined projects currently at various stages of development.
Best and worst performers
Real Estate Investment Trusts rose 11 points to 812. The worst performing sector was materials, shedding 24 points to close at 10,930.
The best performing stock in the S&P/ASX200 was Cochlear, rising 4.15 per cent to $55.50, followed by Gloucester and Austar.
The worst performing stock was Kagara, dropping 6.25 per cent to 30 cents, followed by Cudeco and Bluescope.
Commodities
The price of gold is $US1,722.90 an ounce and Light crude is down 15 cents at $US99.64 a barrel.
