The Australian share market eased in afternoon trade yet held onto its gains to finish 0.3 per cent higher, with healthcare the strongest of the major sectors. Materials also performed well on the back of the gold price basking in an overnight rally. Energy stocks sapped the market somewhat, with the sector losing 0.9 per cent.
The S&P/ASX 200 index closed 15 points up to finish at 5,017. The value of trades was $3.8 billion on volume of 703 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP), ANZ Banking Group
(ASX:ANZ) and Newcrest Mining Limited
(ASX:NCM).
On the futures market the SPI is 17 points up.
Company news
Billabong International Limited
(ASX:BBG) has sold another of its brands and completed a $325 million bridge loan as part of Altamont Capital Partner’s rescue deal. DaKine, a ski, surf and skatewear manufacturer, was sold to the US private equity firm for $70 million, while the loan will allow Billabong to tackle $289 million in debt. Shares in Billabong closed 1.19 per cent down at $0.42.
Telstra Corporation Limited
(ASX:TLS) has pulled the plug on its $60 million bid for South Australian Internet service provider Adam Internet after the deal was rejected by the ACCC. The competition watchdog cited a bevy of concerns over the bid, most notably its impact on Australia’s budget internet service provider landscape, as Telstra’s rivals raised concerns the telco would use the acquisition to corner the market. Shares in Telstra closed 0.4 per cent up at $4.96.
Oil Search Limited
(ASX:OSH) has maintained its full year production guidance despite reporting a slight fall in its first half output, with its shares slipping just over 2.5 per cent.
Incitec Pivot Limited
(ASX:IPL) says it may take a $23.5 million hit to its second half profit following production problems at its Phosphate Hill fertiliser plant.
Mirabela Nickel’s Limited
(ASX:MBN) second-quarter production and sales of nickel have dipped, restricted by ore quality limitations.
Fortescue Metals Group Limited
(ASX:FMG) shares eased despite maintaining its full year production and shipping guidance after seeing significant increases in the June quarter.
Best and worst performers
The best performing sector was Healthcare adding 111 points to close at 13,637.
The worst performing sector was Energy, losing 125 points to close at 13,534.
The best performing stock in the S&PASX 200 was Sirius Resources N.L.
(ASX:SIR), rising 13.04 per cent to close at $2.34. Shares in Transfield Services Limited
(ASX:TSE) and PanAust Limited
(ASX:PNA) also closed higher.
The worst performing stock was Resolute Mining Limited
(ASX:RSG), dropping 6.25 per cent to close at $0.75. Shares in Atlas Iron Limited
(ASX:AGO) and Perseus Mining Limited
(ASX:PRU) also closed lower.
Commodities
Gold is trading at $US1,329 an ounce. Light crude is $0.01 down at $US106.93 a barrel.
The Australian dollar
The Australian dollar is buying $US0.9255.
