The Australian share market has closed 0.8 per cent up, rebounding from its losses over the past two days, with consumer staples stocks leading the way. Local stocks opened the day sharply higher, crossing the 4,900 threshold and sustaining gains throughout the day.
Today, the S&P/ASX 200 index closed 38 points higher to finish at 4,921. The value of trades was $4.4 billion on volume of 852 million shares at the close of trade. The top three stocks by value were Telstra Corporation Limited
(ASX:TLS), BHP Billiton Limited
(ASX:BHP) and Commonwealth Bank of Australia
(ASX:CBA).
On the futures market the SPI is 39 points up.
Economic news
Retail spending dropped 0.2 per cent in December, below analyst expectations of a 0.3 per cent rise, according to the Australian Bureau of Statistics. Total retail spending reached $21.42 billion in the Christmas month, down from $21.53 billion in November.
Company news
Sigma Pharmaceutical Limited
(ASX:SIP) has entered into an MOU with Pharmacy Alliance to open at least 30 new Amcal chemist stores this year, with further openings in the pipeline. CEO Mark Hooper says the relationship further strengthens Sigma’s position as Australia’s largest pharmacy-led network. Shares in Sigma closed 4.69 per cent up at $0.67.
BHP Billiton Limited
(ASX:BHP) will make further job cuts at its Olympic Dam project in an ongoing effort to cut costs. According to various media reports, those affected will not come from the mine itself but rather from human resources, finance and administration areas. BHP has not confirmed exact numbers, saying only a reduction in functional and operational roles is necessary at this time. Shares in BHP Billiton closed 0.91 per cent higher at $37.52.
Primary Health Care Limited
(ASX:PRY) has lifted its first half net profit by 50 per cent to $69.5 million, up from $46.3 million in the corresponding period last year.
Lend Lease Group
(ASX:LLC) has signed a Project Development Agreement (PDA) for the $1 billion Waterbank Urban regeneration project in Perth.
Atlas Iron Limited
(ASX:AGO) has increased its Pilbara iron ore reserves by 21 per cent to 499 mega tonnes in the past seven months.
Gas explorer AWE Limited
(ASX:AWE) has started a development feasibility study for the commercialisation of the Senecio gas accumulation on the West Australian coast.
Best and worst performers
The best performing sector was Consumer Staples adding 147 points to close at 9,508. The worst performing sector was Telco Services, losing 11 points to close at 1,568.
The best performing stock in the S&PASX 200 was Seven West Media Limited
(ASX:SWM), rising 8.49 per cent to close at $2.30. Shares in Atlas Iron Limited
(ASX:AGO) and JB Hi-Fi Limited
(ASX:JBH) also closed higher.
The worst performing stock was Gryphon Minerals Limited
(ASX:GRY), dropping 11.46 per cent to close at $0.42. Shares in Fleetwood Corporation Limited
(ASX:FWD) and Cochlear Limited
(ASX:COH) also closed lower.
Commodities
Gold is trading at $US1,673 an ounce. Light crude is $0.02 up at $US96.66 a barrel.
The Australian dollar
The Australian dollar is buying $US1.034.
