Pushing up: Aus shares 1.7% higher at noon

Market Reports

by Jessica Amir

The Australian share market is riding higher, following the Dow Jones’ lead, after the index hit an time high when US crude prices jumped 2.2 per cent. The ASX200 shot up at the open, erasing yesterday’s losses. All sectors are trading in the black, with most sectors trading over 1 per cent higher. The ASX200 has continued to push higher in the first two hours of trade and was 0.7 higher at noon. 

The S&P/ASX 200 index is 97 points up at 5,782. On the futures market the SPI is 96 points higher.

Asian markets

Japan’s Nikkei has added 0.4 per cent, Hong Kong’s Hang Seng has gained 0.1 per cent and the Shanghai Composite has fallen 0.3 per cent.

To local economic news 

The ABS has reported retail turnover rose 0.6 per cent in May (in seasonally adjusted terms). Although the growth was not as strong as April’s 1 per cent rise, May’s sales managed to beat expectations sales would only rise by 0.1 per cent. The biggest gains were seen in household goods, which rose 2.2 per cent, offsetting the 0.7% fall in department stores sales.

Company news

Cedar Woods Properties (ASX:CWP) has reaffirmed its FY2017 guidance for a record NPAT of $45 million. The community property developer also advised its residential development settlement program for the second half of the financial year has been completed. Cedar Woods Properties says it completed the 2017 financial year with modest gearing, with a net bank debt to equity of about 25 per cent, which is at the lower end of its target range of 20-75 per cent. Cedar Woods Properties says its lower level of gearing positions the company to implement its growth strategy. The company expects to meet its FY2017 earnings guidance. Shares in Cedar Woods Properties (ASX:CWP) are 0.58 per cent lower at $5.17.

Salmat (ASX:SLM) has appointed an independent, non executive director to its board, Stuart Nash, with effect from 1 August 2017. The marketing service business says Stuart Nash has 20 years of accounting and investment banking experience with global firms such as Macquarie Capital (ASX:MQG) and Barclays Capital. There, he specialised in mergers and acquisitions, debt and equity, capital markets and strategy. Stuart is also Chairman of Australian Affordable Housing Securities, and Interim CEO of Green’s Foods Holdings. Shares in Salmat (ASX:SLM) last traded at 37 cents.

The best and worst performers

The best performing sector is Financials, gaining 2.3 per cent to 6,590. Shares in Flexigroup Limited (ASX:FXL) have risen 3.62 per cent and trading at $1.86. shares in Westpac Banking Corporation (ASX:WBC) and National Australia Bank Limited (ASX:NAB) are also stronger.

The least gaining sector is Utilities, rising 0.6 per cent to 8,599. Shares in Spark Infrastructure Group (ASX:SKI) are flat at $2.59. Shares in Ausnet Services Limited (ASX:AST) and AGL Energy Limited (ASX:AGL) are higher.

Commodities and the dollar

Gold is trading at $US1,223 an ounce and one Australian dollar is buying 76.65 US cents. 

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