The Australian share market is higher at midday, its first opportunity to respond positively to the Federal Reserve’s commitment to keep interest rates low until late 2014.
The S&P/ASX 200 index has gained 25 points and is 4,296. On the futures market the SPI is 13 points higher.
Company news
JB Hi-Fi Ltd (ASX:JBH) chief executive Terry Smart says the retailer is being forced to lower prices to compete with global rivals. According to the Australian Financial Review, Mr Smart says retailers are now having to operate in a global market which is challenging. JB Hi-Fi’s online business increased in December, with unique visitors jumping to 1.4 million a week. JB Hi-Fi shares have eased 0.43 per cent and are trading at $11.64.
Metcash Ltd’s (ASX:MTS) new chief operating officer is the likely candidate to take over the top job of chief executive officer when Andrew Reitzer retires next year, according to a report by The Australian Financial Review. Silvestro Morabito has been appointed to the new role of COO food and grocery, placing him ahead of the three other internal candidates, according to the paper. Metcash shares have gained 0.86 per cent and are trading at $4.085.
Best and worst performers
The best performing sector is Materials gaining 161 points to 11,678. Shares in Iluka Resources have lifted 3.22 per cent and are trading at $18.58. Shares in Fortescue Metals and BHP Billiton are also stronger.
The worst performing sector is Consumer Discretionary, losing 10 points to 1,215. Shares in News Corp are 2.71 per cent lower, trading at $18.32. Shares in Fairfax Media and Tabcorp Holdings have also lost value.
New Zealand
The NZSX50 is 13 points higher.
Taking a look at the top four stocks by turnover, Fletcher Building is at the top of the list with stock up 2.19 per cent to $6.54, followed by Chorus, Telecom Corporation of New Zealand and Nuplex Industries.
Gold and the dollar
Gold is trading at $US1,721 an ounce and the Australian dollar is buying $US1.061.
