Buoyed by optimism on Wall Street the Australian share market shot up 0.8 per cent at open. Local investors have been encouraged with news consumer confidence in America has hit a six-year high. Across the sectors, all the majors are trading higher lead by the miners though gold stocks have continued yesterday’s trek south.
Figures
The S&P/ASX 200 index has risen 44.6 points at 5,381. On the futures market the SPI is 45 points higher.
Company news
Nufarm Limited
(ASX:NUF) has improved its first half profit but warned business conditions in Australia will remain challenging for some time. The agricultural chemicals supplier’s net profit jumped 124 per cent to $18.8 million on the back of one-off tax credits. The results come just one week after the company announced plans to reorganise its Australian business. Shares in Nufarm have fallen 2.91 per cent at noon and are trading at $4.01.
The world's biggest dairy exporter Fonterra Shareholders’ Fund (ASX:FSF, NZE:FSF) has reported a first half net profit fall but a rise in revenue. The company’s has described the reporting period as one of mixed fortunes with its net profit dropping 53 per cent. Revenue however rose 21 per cent as a result of high volatility driven by record demand for milk powders. Shares in Fonterra Shareholders’ Fund have risen 0.86 per cent at noon and are trading at $5.89.
Best and worst performers
The best performing sector is materials gaining 151 points to 10,037. Shares in Beadell Resources Limited
(ASX:BDR) have risen 5.42 per cent and trading at $0.63. Shares in Mount Gibson Iron Limited
(ASX:MGX) and Fortescue Metals Group Limited
(ASX:FMG) are also stronger.
The sector with the smallest gains is real estate investment trusts, adding 2.6 points to 1,006. Shares in DEXUS Property Group
(ASX:DXS) have fallen 0.71 per cent, trading at $1.04. Shares in Federation Centres
(ASX:FDC) and Westfield Retail Trust
(ASX:WRT) are also lower.
Gold and the dollar
Gold is trading at $US1,312 an ounce.
The Australian dollar is buying $US0.9161.
