Brand new 10-year high: Aus shares close 0.3% higher

Market Reports

by Jessica Amir

The Australian share market snapped its four-day red-run, with the ASX200 re-entering bull market territory, hitting a fresh 10-year high. It comes after the oil price spiked to fresh four-year highs with the likes of Beach Energy (ASX:BPT) gaining 5.3 per cent, eyeing it five-year high.

UBS ‘favourite’ Whitehaven Coal (ASX:WHC) gained 1.3 per cent today, with UBS as it’s ‘rolling in cash’ and forecasts should continue given the strong price for coal.

UBS noted in its quarterly resource update that it remains overweight mining after the sector excluding electric vehicles, rose 14 per cent, outperforming the ASX300’s 8 per cent.

Miners also boded well today, extending gains with lithium player, Syrah Resources (ASX:SYR) adding 3.7 per cent.

Iron ore price is eying a gain of 0.6 per cent, welcome news after the iron ore price fell 3 per cent overnight to US$64.60. Over the year, while the iron ore is up 8 per cent.

At the closing bell the S&P/ASX 200 index closed 20 points or 0.3 per cent finishing at 6,215.

On the futures market the Dow futures are suggesting a rise of 46 points.
And the ASX200 futures are eyeing a 35 point gain.

The value of trades was $5.9 billion on volume of 740 million shares at the close of trade. The top three stocks by value were Wesfarmers (ASX:WES), BHP Billiton Limited (ASX:BHP) and Woolworths (ASX:WOW).

Company news

Global fund manager, BlackRock closed their major holding in AMP (ASX:AMP) after they sold down their holdings in the financial services giant which is trading near its 5 year lows. Today, AMP (ASX:AMP) closed 0.6 per cent higher at $3.59 after AMP purchased more stock in the firm.

Santos (ASX:STO) announced it will look to pay ordinary dividends that are sustainable through the oil price cycle, targeting a payout range of 10 to 30 per cent of free cash flows that are generated every year.

Automotive Holdings Group (ASX:AHG) says that the previously disclosed sale of its Refrigerated Logistics business, will not go ahead by 30 June 2018 as Foreign Investment Review Board approval has not yet been obtained.

Affordable seniors accommodation provider, Ingenia Communities Group (ASX:INA) forecast FY19 pre sales will be 46 per cent higher than FY18. Ingenia says it’s because 90 per cent of settlements will be coming from communities which have sales momentum

The world’s ‘first certified organic fast food chain’, Oliver’s Real Food (ASX:OLI) opened up a new store in Central NSW, in Dubbo, taking its total stores to 28.

Media trading platform, Adslot (ASX:ADJ) announced it deployed its workflow technology, Symphony, into the in the Indian market. Once in full swing, it will be the second biggest user of the company’s software, behind China.

Best and worst performers of the day

The best performing sector was energy adding 1.80 per cent, worst performing sector was consumer discretionary , shedding 1.2 per cent.

The best performing stock in the S&P/ASX 200 was nib Holdings Limited (ASX:NHF), rising 5.5 per cent to close at $5.80. Shares in Beach Energy Limited (ASX:BPT) and Independence Group Nl (ASX:IGO) followed higher.

The worst performing stock in the S&P/ASX 200 was Wisetech Global Limited (ASX:WTC), dropping 6.3 per cent to close at $15.70. Shares in Afterpay Touch Group Limited (ASX:APT) and Altium Limited (ASX:ALU) followed lower.

Asian markets

Japan’s Nikkei has added 0.04 per cent, Hong Kong’s Hang Seng is flat, and the Shanghai Composite lost 0.53 per cent.

Commodities and the dollar

Gold is trading at $US1,253 an ounce.
Light crude is $1.77 up at $US72.30 barrel.
One Australian dollar is buying 73.53 US cents.


Bitcoin trades US$6,126, Ethereum is at US$435 and EOS is at US$7.80.

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.