Rocketing upward: Aus shares close 1.16% higher

Market Reports

by Carolyn Herbert

The Australian share market has finally broken through that 5400 barrier in what has been strong session for the local bourse. Following a solid lead from Wall Street, the ASX200 jumped into the black at the open and continued to surge in afternoon trade, closing the day 1.16 per cent higher. While all sectors finished the day in positive territory, the materials space was the star performer this session, with gains in the big miners BHP and Rio Tinto as well as the gold stocks.

At the closing bell the S&P/ASX 200 index closed 62 points up to finish at 5,413.

The value of trades was $5.3 billion on volume of 807 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 IPH Limited (ASX:IPH)

On the futures market the SPI is 64 points up.

Company news

Billabong International Limited (ASX:BBG) says it expects its full year EBITDA to be between $60 to $65 million. However the surf-wear giant says it will not be paying a dividend in respect of the 2016-17 financial year, as market conditions will continue to remain challenging. On the plus side, Billabong says it has identified additional cost saving opportunities and has continued to streamline the organisation. Shares in Billabong closed 9.22 per cent higher at $1.19.

Monadelphous Group Ltd (ASX:MND), says it has recently secured additional work across a broad range of industries, valued at $200 million.

Kidman Resources Ltd (ASX:KDR) has signed a binding Heads of Agreement to sell its Burbanks gold mine in Western Australia for $4.5 million.

Fisher & Paykel Healthcare (ASX:FPH) says its NPAT rose 26% to NZ$78.2 million this half year.

Best and worst performers

The best performing sector was Materials adding 3 per cent to close at 9,645. The sector with least gains was Telcos, adding 0.3 per cent to close at 1,743 points.

The best performing stock in the S&P/ASX 200 was Technology One, rising 11.13 per cent to close at $5.89. Shares in Orocobre and A2 Milk also closed higher.

The worst performing stock was Isentia Group, dropping 3.5 per cent to close at $2.48. Shares in Automotive Holdings and G8 Education also closed lower.

Commodities and the dollar

Gold is trading at $US1,217 an ounce.
Light crude is $1.97 higher at $US48.33 a barrel.
The Australian dollar is buying $US73.95.


Carolyn Herbert

Finance News Network
Carolyn joined FNN in August 2015 as the Head of News and also presented the Market at Midday and the Market Wrap. With more than five years of broadcast journalism experience, Carolyn has worked as a finance anchor on the Sky News Business channel and as an anchor and reporter for ABC News. She is also a qualified corporate lawyer specialising in IPOs, takeovers and mergers and acquisitions.