Following positive leads from the US where jobs data came in better than expected the Australian share market opened higher and is 1.26 per cent up at noon. The big four banks are leading the way, buoyed by the release of a financial system inquiry headed up by former Commonwealth Bank CEO David Murray.
The S&P/ASX 200 index is 59 points up 5,394. On the futures market the SPI is 68 points higher.
Economic news
The ANZ has reported a 0.7 per cent rise on job ads during November . This is the sixth consecutive month that job ads have increased with internet job ads now proving a major driver, up 10 per cent since the same time last year. Newspaper ads were down 5.4 per cent. NSW and Victoria were the best performers whist job advertising trends are weakening in the Northern Territory.
Company news
Heron Resources Limited
(ASX:HRR) says it has just recorded its highest grade intercept at its 100 per cent owned Woodlawn Zinc-Copper project in New South Wales. The Kate Lens drilling program has reported 26 per cent zinc and 2 per cent copper deposits as well as a number of other sulphide intercepts. Heron has been in the headlines recently after a second strike vote against the company’s remuneration report forced a board spill meeting to be held in January or February next year. Shares in Heron Resources are trading flat at $0.13.
Highlands Pacific Limited
(ASX:HIG) says it has reached an agreement with a subsidiary of Anglo American to work on a joint venture exploration and development plan for the Highlands Star copper gold project in PNG. The exploration tenements cover over 500 sq kms and early stage drilling has identified some significant copper and gold mineralisation. Anglo American will pay Highlands US$10 million for a 51 per cent interest in the project based on earn-in obligations. Anglo American has options to increase its interest to 80 per cent. Highlands will manage the project until such time as Anglo American has invested over US$25 million on the venture. Shares in Highlands Pacific are trading 3.33 per cent softer at $0.06.
Best and worse performers
All sectors are higher in morning trade. The best performing sector is health, gaining 2 per cent to 17,360. Shares in Japara Healthcare have risen 4.64 per cent and are trading at $2.03. Shares in Mesoblast and CSL are also stronger.
The sector with the least gains is materials, lifting 0.04 per cent to 8,697. Shares in Beadell Resources have fallen 6.82 per cent, trading at $0.21. Shares in Mount Gibson Iron and Medusa Mining are also lower.
Gold and the dollar
Gold is trading at $US1,190 an ounce.
The Australian dollar is buying 83.11 US cents.
