The Australian share market has ended the day and indeed the week higher, with banks amongst the best performers thanks to some positive comments from the Reserve Bank governor.
Figures
Today, the S&P/ASX200 Index gained 21 points to finish at 4,307. For the week, the index gained 111 points. On the futures market, the SPI is 31 points higher.
Looking at Wall Street, over its three trading days this week. The Dow Jones Industrial Average added 80 points. The S&P 500 Index added 5 points, the Nasdaq fell 3 points, and the 100 Index also gained 3 points.
Economic news
Reserve Bank of Australia governor Glenn Stevens says interest rates are where they should be, flagging the central bank is unlikely to cut official interest rates to offset the banks’ mortgage rate increases.
Company news
Crown Limited (ASX:CWN) has reported it will pay almost $257 million, or $3.73 a share to hold a 10 per cent interest in Echo Entertainment Group Limited (ASX:EGP). Crown says it’s seeking permission from the New South Wales Casino, Liquor and Gaming Control Authority and the Queensland Attorney General to increase its voting power in Echo beyond 10 per cent. Today Crown also reported a net profit for the half year ended December of $274 million, up almost 80 per cent. Crown shares fell 1.54 per cent today, closing at $8.30.
AGL Energy Limited (ASX:AGK) will raise $1.5 billion to finance the 100 per cent purchase of the Loy Yang power station in Victoria and partially repay some bank loans. AGL today posted a half-year net profit of $117 million, a fall of more than 50 per cent. Underlying profit increased 3 per cent, AGL says that provides a solid base for a strong full year result in line with previous guidance for underlying profit of between $470 million and $500 million. An interim dividend has been maintained at 29 cents per share, fully franked. AGL shares fell 4.67 per cent today, closing at $13.67.
Newcrest Mining Limited (ASX:NCM) says maintenance issues at its Lihir gold mine in Papua New Guinea are likely to reduce output by up to 60,000 ounces for the March quarter.
David Jones Limited (ASX:DJS) says it hopes to make around 10 per cent of sales online, the retailer will reveal the details of its new online strategy next month.
Best and worst performers
The best performing sector was Consumer Discretionary lifting 21 points to close at 1,287. The worst performing sector was Utilities, retreating 86 points to close at 4,556 points.
The best performing stock in the S&PASX 200, was Echo Entertainment Group Limited (ASX:EGP), lifting 13.16 per cent today, closing at $4.30. Shares in Energy World Corporation Limited (ASX:EWC) and Qube Logistics Holdings Limited (ASX:QUB) also finished higher.
The worst performing stock was Charter Hall Office REIT (ASX:CQO) dropping 13.76 per cent to close at $3.07. Shares in OneSteel Limited (ASX:OST) and Emeco Holdings Limited (ASX:EHL) also closed lower.
IPO
Goodrich Resources (ASX:GRX) floated today, with a listing price of 20 cents, opening price of 21 cents and a closing price of 22.5 cents.
Commodities
Gold is trading at $US1,781 an ounce and has gained $59 over the week.
Light crude is $0.72 higher sitting at $US108.55 a barrel.
Australian dollar
The Australian dollar is buying $1.0744 US cents and is slightly higher over the week.
