Defying negative leads the Australian share market lifted at open and advanced throughout the day, breaking through the 4,500 level and ending 0.5 per cent higher. Investors shrugged off a bleak global growth outlook from The World Bank and International Monetary Fund (IMF) and remained hopeful for stimulus ahead of European finance ministers meeting this evening.
Across the board the mining sector got a boost after the iron ore price rallied overnight. A technical glitch on the Australian Securities Exchange (ASX) prevented the exchange from publishing company announcements between midday and close of trade.
Figures
The S&P/ASX 200 index advanced 23 points to end at 4,505. On the futures market the SPI is 27 points stronger.
Economic news Business conditions worsened last month, but business confidence improved. According to National Australia Bank’s Limited’s
(ASX:NAB) monthly business survey: Business conditions dropped to minus-3 in September from a read of 0 the month before. Business confidence increased to zero in September from minus-3 the month before.
Company news Oil Search Limited
(ASX:OSH) has inked a strategic partnership with fellow oil and gas company Total. Under the deal both companies will hold equal interests over five licences in Papua New Guinea and work together to explore and appraise the area. Oil Search expects an offshore drilling program will start in the first quarter of 2013. Shares in Oil Search pushed up 3.18 per cent to finish at $7.78.
Senex Energy Limited
(ASX:SXY) has appeared on the share register of petroleum explorer and takeover target Acer Energy Limited
(ASX:INP), fuelling talk Senex could be considering a bid. Asked if Senex would consider a bid CEO Ian Davies told Dow Jones Newswires the oil and gas explorer “considers all sorts of things”. Drillsearch Energy Limited
(ASX:DLS) launched a $118 million takeover bid for Acer Energy last week. Shares in Senex Energy slipped 1.53 per cent today, ending at $0.65.
Billabong International Limited
(ASX:BBG) lifted after the surfwear retailer appointed Dr Ian Pollard as Director and Chairman of its board. The company is still in takeover talks with US private equity firm TPG Capital.
Leighton Holdings Limited
(ASX:LEI) firmed after announcing its Victorian desalination plant has hit a key commercial milestone just weeks after it started to produce drinking water.
Fox Resources Limited
(ASX:FXR) jumped after the explorer inked a deal for the exclusive right to buy 17 coal tenements in Queensland.
Australian Infrastructure Fund Limited
(ASX:AIX) gained after reporting 5.9 per cent passenger growth across its airport portfolio in August, boosted by domestic passenger growth across Australia.
Best and worst performers
The best performing sector was real estate investment trusts adding 13 points to close at 962.
The worst performing sector was telco services, losing 4 points to close at 1,352 points.
The best performing stock in the S&PASX 200 was Fortescue Metals Group Limited
(ASX:FMG), rising 6.47 per cent to close at $3.95. Shares in CuDeco Limited
(ASX:CDU) and Buru Energy Limited
(ASX:BRU) also closed higher.
The worst performing stock was Alumina Limited
(ASX:AWC), dropping 4.89 per cent to close at $0.88. Shares in APN News and Media Limited
(ASX:APN) and FKP Property Group
(ASX:FKP) also closed lower.
IPOs Victory Mines Limited
(ASX:VIC) started trading today: The rare earth element explorer listed and opened at $0.20 and closed at $0.195.
Commodities
Gold is trading at $US1,779 an ounce.
Light crude is $0.79 up at $US90.12 a barrel.
The Australian dollar
The Australian dollar is buying $US1.023.
