The Australian share market ended the day higher after the Greek parliament approved the harsh austerity measures demanded by bailout creditors to avoid default. And late this afternoon the Commonwealth Bank of Australia (ASX:CBA) joined the other two big banks and Bendigo in raising mortgage rates. The CBA will lift rates by 10 basis points.
Today, the S&P/ASX200 Index gained 40 points to finish at 4,285. On the futures market, the SPI is 29 points higher.
Economic news
The number of home loans granted in December rose a seasonally adjusted 2.3 per cent to 48,453, reports the Australian Bureau of Statistics.
Company news
Australia and New Zealand Banking Group (ASX:ANZ) has confirmed it will cut 1000 jobs by the end of the year. Almost 500 staff have already been advised today they will lose their jobs. The majority of positions will be cut from middle management, back-office and support functions. The bank says it’s a difficult environment with pressure on margins because of higher funding costs, and the organisation needs to adapt and become leaner. ANZ shares jumped 1.63 per cent today, closing at $21.77.
Murchison Metals Limited (ASX:MMX) shareholders have approved the sale of the company’s interests in Crosslands Resources and the Oakajee Port and Rail projects to Mitsubishi. The deal is reportedly worth $325 million. Earlier today Murchison advised it had satisfied the conditions set out by the Western Australian government to approve the sale of key assets to Mitsubishi. Murchison expects the completion of the transaction to take place on February 20. Murchison shares gained 1.15 per cent today, finishing at $0.44.
Leighton Holdings Limited (ASX:LEI) has booked a net profit of $340 million for the six months to December 31. Leighton also reported a possible breach of its code of ethics to the Australian Federal Police related to payments that may have been made to Leighton’s subsidiary, Leighton Offshore, in connection with work to expand offshore loading facilities for Iraq’s crude oil exports.
Singapore Telecommunications Limited (ASX:SGT) has posted a net profit of $678 million for the third quarter, almost a 10 per cent fall on the previous corresponding period.
JB Hi-Fi Limited (ASX:JBH) has posted a 9.4 per cent fall in net profit to $79.6 million for the six months to December 31.
And finally, Bendigo and Adelaide Bank Limited (ASX:BEN) has lifted rates independently of the Reserve Bank, with a rise of 15 basis points.
Best and worst performers
The best performing sector was Financials Excluding Real Estate Investment Trusts lifting 54 points to close at 4,645. The worst performing sector was Real Estate Investment Trusts, easing less than a point to close at 806 points.
The best performing stock in the S&PASX 200, was Sigma Pharmaceuticals, rising 5.83 per cent to close at $0.635. Shares in Fortescue Metals Group and Kagara also rose.
The worst performing stock was Bathurst Resources easing 5.06 per cent to close at $0.75. Shares in Aquarius Platinum and Linc Energy also closed lower.
Commodities
Gold is trading at $US1,729 an ounce. Light crude is $0.98 higher at $US99.65 a barrel.
