Market Wrap: ASX closes day & week higher

Market Reports

Despite negative leads the Australian share market rose at open to close the day and week higher. Investors shrugged off US fiscal cliff concerns and sustained gains following positive Chinese manufacturing figures.

Figures
 

The S&P/ASX 200 finished steady, gaining 0.3 points to slightly extending the weekly gain of 31 points and finish at 4,583. The value of trades was $3.2 billion on volume of 722 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited (ASX:BHP), Commonwealth Bank of Australia (ASX:CBA) and Rio Tinto Limited  (ASX:RIO).


On the futures market, the SPI is 10 points lower.


Looking at Wall Street, which finished mixed over its four trading days this week: The Dow Jones Industrial Average added 97 points. The S&P 500 Index added 6 points, the Nasdaq added 3 points and the 100 Index lost 2 points.


Economic news

A preliminary gauge of China's manufacturing activity has increased to a 14 month high. HSBC’s flash purchasing managers index rose to 50.9 in December, from a final reading of 50.5 in November, with the level above 50 indicating accelerating growth.

Company news

Shares in AJ Lucas Group Limited (ASX:AJL) soared today after Britain lifted a ban on controversial shale gas exploration. The mining services company holds a 42 per cent stake in Britain’s only licensed shale gas explorer, Cuadrilla. Shares in AJ Lucas jumped 19.74 per cent today to finish at $0.91.

Shares in Macmahon Holdings Limited (ASX:MAH) slip after emerging from a trading halt, having completing part of its capital raising.
The mining contractor sold its construction business this week to Leighton Holdings Limited (ASX:LEI) for $16.3 million after cutting its annual profit forecast. Shares in Macmahon Holdings Limited closed 3.59 per cent down at $0.21.

Shares in APN News and Media Limited (ASX:APN) slumped more than 15 per cent to be todays worst performing stock on the ASX after predicting its full year profit will drop by almost a third to between $51 and $54 million, owing to a struggling newspaper advertising market.

Shares in Australand Property Group (ASX:ALZ) rose more than 3 per cent today, with the company rejecting a $2.8 billion bid for its commercial, industrial and investment property portfolio from fellow property company GPT Group (ASX:GPT).

Best and worst performers 

The best performing sector was Materials adding 40 points to close at 10,412.
The worst performing sector was Consumer Discretionary, losing 15 points to close at 1,323.

The best performing stock in the S&PASX 200 was Transpacific Industries Group Limited (ASX:TPI), rising 5.67 per cent to close at $0.74. Shares in Northern Star Resources Limited (ASX:NST) and Intrepid Mines Limited (ASX:IAU) also closed higher.

The worst performing stock was APN News and Media Limited (ASX:APN), dropping 15.87 per cent to close at $0.27. Shares in Buru Energy Limited (ASX:BRU) and Fairfax Media Limited (ASX:FXJ) also closed lower.

Commodities

Gold is trading at $US1,697 an ounce, and is down $6.40 over the week. Light crude is $0.66 higher at $US86.55 a barrel.

The Australian Dollar

The Australian dollar is buying $1.054 and is $0.006 higher over the week.


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