The Aussie sharemarket spiked at open then stayed there, closing 2.13 per cent higher. It was boosted by the release of strong US and German economic data.
Today, the S&P/ASX 200 Index gained 86 points to finish at 4,140. On the futures market, the SPI is up 81 points.
Economic news
A gauge on Australia’s future growth has weakened for the second straight month. According to Westpac and the Melbourne Institute’s leading index, the annualised growth rate eased to 2.6 per cent in October from 2.8 per cent the month before. The latest read is 0.4 per cent under the longer term trend rate of 3 per cent.
Company news
A joint venture between Lend Lease Limited (ASX:LLC) and Leighton Holdings Limited (ASX:LEI) is set to carry out $505 million worth of rail work in Victoria, including the design and construction of about 25 kilometres of railway track and new stations. The project’s to be run by Lend Lease’s Baulderstone and Leighton Contractors. Construction’s due to start in January and be completed in 2014. Shares in Lend Lease Limited (ASX:LLC) closed 3.63 per cent higher, at $7.43.
Harvey Norman Holdings Limited (ASX:HVN) boss Gerry Harvey’s bought another $1 million of shares in the retailer. He bought them on Monday when the stock was $1.82, close to its historic low. Harvey Norman director Chris Mentis says the purchase shows Harvey is showing support, and the share’s currently a “great buy”. Harvey Norman Holdings Limited (ASX:HVN) closed 3.58 per cent higher today at $1.88.
Despite ship maker Austal Limited (ASX:ASB) winning $US7.9 million ($7.86 million) in additional work for the US Navy, it’s shares dropped four per cent this afternoon. The ship maker’s new contract is for for the construction of a new class of littoral combat ships, used for operations close to shore.
Billabong Limited (ASX:BBG) shares regained some of their heavy losses today, they’re up more than 10 per cent. They plummeted 44 per cent on Monday, after announcing a profit and sales downgrade, prompting a retail sector-wide sell-off.
Beadell Resources Limited (ASX:BDR) was at the top of the ASX200 at close after the gold explorer announced a new discovery at its Tropicana East project north east of Kalgoorlie. It says a major drilling program is planned for the first quarter of next year.
And brewer Little World Beverages (ASX:LWB) says it’s anticipating an after tax profit for the six months to the end of the year to be in the range of $5.2 to $5.7 million, a 13 to 24 per cent jump from the same time last year. It says increasing consumer demand for its beer Little Creatures, White Rabbit and Pipsqueak have boosted profits.
Sectors and stocks
Materials was the best performer, up 323 points to 10,813. The worst performing sector was real estate investment trusts, it gained 7 points, closing at 807.
The best performing stock in the S&P/ASX200 was Beadell Resources, followed by Billabong and Karoon Gas.
The worst performing stock was White Energy, it dropped 4.88 per cent to 39 cents, followed by Kagara and Virgin Australia.
Commodities
The price of gold is $US1,625 an ounce and Light crude is up 79 cents at $US98.03 a barrel.
