The Australian share market spiked above the 5,500 barrier this morning but pulled back throughout the session to end just 0.3 per cent higher. Stocks got off to a strong start after the US central bank signalled it will not be hiking interest rates as soon as markets had expected.
But, better than expected domestic jobs data dragged on the benchmark as investors considered the implications for local interest rates. The heavy-weight mining sector back-flipped into the red after China’s trade data revealed exports fell 6.6 per cent and imports dropped 11.3 per cent last month.
The Australian dollar jumped above $US0.94 and has stayed strong throughout the session.
Figures
The S&P/ASX 200 index closed 17 points higher at 5,481.
The value of trades was $4.45 billion on volume of 849 million shares at the close of trade.
On the futures market the SPI is 12 points higher.
Economic news
Australia’s jobless rate has dropped against expectations of a rise last month. The Australian Bureau of Statistics reports the Australian economy created 18,100 jobs as the unemployment rate fell to 5.8 per cent in March. The participation rate pulled back to 64.7 per cent in March.
Company news
Ten Network Holdings Limited
(ASX:TEN) has posted a first half net loss of $8 million, an improvement of 97 per cent from the year before. The media company attributed the result to a positive ratings period over the summer aiding revenues and helping to offset an increase in costs from new programs. Executive chairman and CEO Hamish McLennan has affirmed the company’s turnaround strategy remains on track including a commitment to strict cost control. Shares in Ten Network Holdings rose 3.85 per cent today to finish at $0.27.
Australia’s biggest agribusiness Graincorp Limited
(ASX:GNC) could be set to have more flexibility to compete at its Newcastle bulk grain facility. Australia’s competition regulator has issued a draft decision to reduce regulation at the terminal following an extensive campaign from the company. The news comes after Treasurer Joe Hockey last year blocked the $3 billion foreign takeover of Graincorp by US agricultural giant Archer Daniels Midland. Shares in Graincorp gained 1.14 per cent today to finish at $8.87.
Shares in David Jones Limited
(ASX:DJS) continued to extend yesterday’s stock surge amid speculation the retailer could be poised to receive more takeover bids following a $2.15 billion offer from South African retail group Woolworths yesterday.
Toll road operator Transurban Group
(ASX:TCL) has boosted its March quarter revenue by 12.9 per cent on the back of a strong performance from its Sydney network.
Travel management company Flight Centre Travel Group Limited
(ASX:FLT) has joined the voluntary AFTA Travel Accreditation Scheme, which is geared to removing the financial and administrative burdens which traditionally impact Australian travel agents.
Manufacturer of advanced composite technologies Quickstep Holdings Limited
(ASX:QHL) has inked a $US139 million 14-year deal to supply Marand Precision Engineering with parts for aircraft vertical tails.
Best and worst performers
The best performing sector was real estate investment trusts, adding 11 points to close at 1,040.
The worst performing sector was materials, losing 58 points to close at 10,335 points.
The best performing stock in the S&P/ASX 200 was Wotif.com Holdings Limited
(ASX:WTF), rising 6.64 per cent to close at $2.73. Shares in Regis Resources Limited
(ASX:RRL) and Sirius Resources NL
(ASX:SIR) also closed higher.
The worst performing stock was Mount Gibson Iron Limited
(ASX:MGX), dropping 6.25 per cent to close at $0.85. Shares in Myer Holdings Limited
(ASX:MYR) and Acrux Limited
(ASX:ACR) also closed lower.
Commodities
Gold is buying $US1,317 an ounce.
Light crude is $1.04 higher at $US103.60 a barrel.
The Australian dollar
The Australian dollar is buying $US0.9421.
