ASIC to launch proceedings against ANZ: ASX tracking 0.3% higher at noon

The Australian share market opened higher this morning following positive leads from Wall Street and is now tracking 0.3 per cent higher at noon. The All Ordinaries hit its highest ever level. The last time it hit record was 11.5 years ago - before the Global Financial Crisis. Shares in IOOF Holdings (ASX:IFL) have risen after they reported today that their Funds Under Management Advice and Administration was up by 19 per cent to $149.5 billion. Bank of Queensland (ASX:BOQ) today announced the appointment of Peter Sarantzouklis as its Group Executive BOQ Business. He's formerly from Westpac (ASX:WBC). The Industrials sector is leading the way and the Materials sector trailing behind. 

The S&P/ASX 200 index is 23 points up at 6,799. On the futures market the SPI is 0.4 per cent higher

Broker moves

Citi has classed Aristocrat (ASX:ALL) as a buy with a 12-month price target of $35.00. It comes as the company has maintained its dominant position in the North American Class III premium leased market. They believe they can increase leased market share from 33 per cent to 40 per cent by Financial Year 2021. Aristocrat (ASX:ALL) is trading 0.9 per cent higher at $30.75.

Company news

ASIC has advised ANZ Bank (ASX:ANZ) that they intend to start civil penalty proceedings against the bank in relation to the charging of fees for periodical payments in certain circumstances prior to February 2016. These fees were the subject of a class action which was settled in December 2018 for $1.5 million, pending court approval. Separately, ANZ has already provided for approximately $50 million in customer remediation payments for this matter of which more than $28 million has already been paid to customers impacted since 2008. ANZ denies any deliberate wrongdoing and intends to vigorously defend any such allegation. Shares in ANZ Bank (ASX:ANZ) is trading 0.7 per cent higher at $27.84.

Karoon Energy (ASX:KAR) has announced that its wholly owned subsidiary, Karoon Petróleo e Gás, has executed a binding sale and purchase agreement to acquire a 100 per cent operating interest in the Baúna field located in the Santos Basin, offshore Brazil for a headline consideration of US$665 million. Shares in Karoon Energy (ASX:KAR) is trading 13.2 per cent higher at $1.37.

Best and worst performers

The best-performing sector is Industrials, adding 1.2 per cent, while the worst performing sector is Materials, shedding 1.7 per cent.

The best performing stock in the S&P/ASX 200 is IOOF Holdings (ASX:IFL), rising 7.3 per cent to $5.89, followed by shares in NRW Holdings (ASX:NWH) and Nearmap (ASX:NEA).

The worst performing stock in the S&P/ASX 200 is Iluka Resources (ASX:ILU),dropping 6.9 per cent to $9.30, followed by shares in Eclipx (ASX:ECX) and Fortescue Metals Group (ASX:FMG).

Asian markets

Japan’s Nikkei has added 0.4 per cent, Hong Kong’s Hang Seng has gained 0.2 per cent and the Shanghai Composite has lost 0.2 per cent.

Commodities and the dollar

Gold is trading at US$1,424 an ounce.
Iron ore price fell 2.4 per cent to US$114.97
Iron ore futures are pointing to a fall of 0.3 per cent.
One Australian dollar is buying 69.82 US cents.