Driven mainly by BHP, the Australian share market climbed steadily higher today breaking a four day losing streak and ending 0.55 per cent higher.
The S&P/ASX 200 index closed 31 points up to finish at 5,608.
The value of trades was $3.65 billion on volume of 604 million shares at the close of trade. The top three stocks by value were BHP Billiton Limited
(ASX:BHP) Commonwealth Bank of Australia
(ASX:CBA) and National Australia Bank Limited
(ASX:NAB)
On the futures market the SPI is 19 points up.
Economic news
The ABS says approvals for housing loans in July rose just 0.3 per cent, less than forecast. The breakdown was interesting, first home buyers made for just 13.2 per cent of all loans. Approvals for owner/occupiers dipped by 1.3 per cent whilst approvals for investment loans surged by 6.8 per cent.
And the NAB survey of business index shows business confidence in August slipped from July’s result. The figures are still up on last year but remain far below pre GFC levels indicating slow growth will remain the trend a while longer.
Company news
Central Petroleum Limited
(ASX:CTP) says the drilling operation at its 30% stake in a Mt Kitty exploration well in the Northern Territory has shown good results. The Southern Amadeus Joint Venture with 70% owner Santos as operator has shown positive results for hydrocarbons and helium gas and that Santos is now ready to proceed with stage 2 of Central’s exploration permits in the area. Central Petroleum has recently been ordered to pay ex-managing director John Heugh $1.6 million in an unfair dismissal case. Shares in Central Petroleum closed 3.28 per cent lower at $0.29 today.
Brambles Limited
(ASX:BXB) is set to expand its specialist containers business through the $US545 million acquisition of UK-based Ferguson Group. The company says Ferguson Group provides services to the offshore oil and gas sector and is a very strong fit for Brambles. However some analysts have suggested Brambles may have paid too much for the British company. CEO Tom Gorman says Ferguson Group is a proven performer in delivering growth and provides a platform for further expansion of Brambles’ containers offering in oil and gas sector. Shares in Brambles have ended the day 0.42 per cent lower at $9.48.
Lend Lease Group’s
(ASX:LLC) $6 billion Barangaroo development has unveiled its first major retail tenant. Australian chef Matt Moran is poised to open a three-storey restaurant at the southern end of the waterfront.
WorleyParsons Limited
(ASX:WOR) will buy MTG, a US-based oil and gas consulting group, flagging push into the global advisory business.
CFS Retail Property Trust Group
(ASX:CFX) is enjoying a lift after The Australian reported it may have caught the eye of America’s Simon Property Group.
And Structural Systems
(ASX:STS) and Decmil Group Limited
(ASX:DCM) have been awarded a $20 million joint venture contract to build a pedestrian bridge in Perth’s new Elizabeth Quay development.
Best and worst performers
The best performing sector was real estate investment trusts adding 1.3 per cent to close at 1,146. The worst performing sector was industrials, losing 0.1 per cent to close at 4,251 points.
The best performing stock in the S&P/ASX 200 was Regis Resources, rising 8.33 per cent to close at $1.82 after publishing a favourable ore resource estimation. Shares in Senex Energy and Breville Group also closed higher.
The worst performing stock was Buru Energy, dropping 3.41 per cent to close at $0.85. Shares in Lynas Corporation and Village Roadshow also closed lower.
Ipos BPS Technology Limited
(ASX:BPS) started trading today. The technology platform provider listed with an issue price of $1.00, opened at $1.00 and a closed at $0.99.
Commodities
Gold is trading at $US1,255 an ounce. Light crude is $0.63 down at $US92.66 a barrel. The Australian dollar is buying 92.67 US cents.
