The Australian share market has spent the day in positive territory to close 0.9 per cent higher, led by gains among the miners and the banks. The local market retreated from 10 straight days of gains yesterday to dip into the red before rallying once again today and hitting fresh 21 month highs. The S&P/ASX 200 index closed 42 points up to finish at 4,921. Over the week the index gained 44 points.
The value of trades was $3.6 billion on volume of 690 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), National Australia Bank Limited
(ASX:NAB) and Telstra Corporation Limited
(ASX:TLS).
On the futures market, the SPI is 35 points higher.
US Indicies
Wall Street, over its four trading days this week: The Dow Jones Industrial Average added 35 points. The S&P 500 Index added 3, the Nasdaq went up by 12 points and the 100 Index gained 8 points.
Economic news
Producer prices rose in the December quarter but slightly less than expected, according to data from the Australian Bureau of Statistics.
The ABS producer price index rose 0.2 per cent in the three months to the end of December. Analysts had expected the data to show a 0.3 per cent rise.
Manufacturing activity contracted for an eleventh month in December according to the Australian Industry Group’s performance of manufacturing index (PMI). The index came in aT 40.2 points, down from 43.6 in November.
The RP Data-Rismark report has shown a solid performance in the Australian housing market to kick off 2013. The national dwelling value rose 1.2 per cent in January, swinging from a 1.2 per cent drop in the final quarter of last year.
Company news
The West Australian government has approved Aquila Resources Limited’s
(ASX:AQA) proposed development of the Anketell Port, a crucial cog in the coal producers progression into iron ore via two key mine proposals in the Pilbara. Chairman Tony Poli says the approval provides for the staged expansion of the deepwater port to an iron ore export capacity of 350 million tonnes annually. Mr Poli said Aquila has also settled its tussle over the sale of its 24.5 per cent stake in Queenslands Belvedere coal project to Brazilian miner Vale, with the company’s settling legal proceedings and disputes for $20 million. Shares in Aquila Resources closed steady today at $3.12.
Brickworks Limited
(ASX:BKW) expects to increase its first half earnings following the $62.6 million sale of its Oakdale South site in western Sydney. The building products manufacturer anticipates to post $34 million in earnings for the six months to the end of January, up from $13.3 in the corresponding period last year. Shares in Brickworks closed 0.16 per cent down at $12.60.
Adventure retailer Kathmandu Holdings Limited
(ASX:KMD) has flagged an increase in its first half net profit following strong first quarter sales growth and a good performance over the Christmas and new year trading period.
Rare Earths explorer Northern Minerals Limited
(ASX:NTU) has secured funding agreements to raise $58 million for the advancement of its Browns Range Heavy Rare Earth (HRE) project in Western Australia.
Best and worst performers
The best performing sector was Financials excluding real estate investment trusts, adding 68 points to close at 5,900.
The worst performing sector was Energy, losing 9 points to close at 13,070 points.
The best performing stock in the S&PASX 200 was Independence Group
(ASX:IGO), rising 7.5 per cent to close at $4.73. Shares in Pacific Brands Limited
(ASX:PBG) and Coalspur Mines Limited
(ASX:CPL) also closed higher.
The worst performing stock was Drillsearch Energy Limited
(ASX:DLS), dropping 5.26 per cent to close at $1.26. Shares in Maverick Drilling and Exploration Limited
(ASX:MAD) and Mirabela Nickel Limited
(ASX:MBN) also closed lower.
Commodities
Gold is trading at $US1,661 an ounce, and is down $6.00 over the week. Light crude is $0.02 higher at $US97.51 a barrel.
The Australian dollar
The Australian dollar is buying $1.039 and is $0.006 down over the week.
