Aus shares soar to 8 month high: Joe Biden announced President-elect

Market Reports

by Anna Napoli

The local bourse has popped at the open hitting a fresh eight month high with strong gains across the board. The positive moves come as investors digest news Joe Biden has been declared President-elect. The S&P/ASX200 is up 112 points or 1.8 per cent to 6302. Futures are pointing to a gain of 102 points. REA Group and fellow online property sales platform Domain are riding high following a positive broker note from JP Morgan. Iron ore miners are also pushing ahead with the likes of BHP up 3.5 per cent, Rio Tinto up 2.8 per cent and Fortescue up 4.5 per cent. The gains come as the price of iron ore continues to surge higher. US Futures are all in the green as markets react positively to news of Joe Biden’s win.

Broker call

Ord Minnett has downgraded Fineos Corporation (ASX:FCL) to accumulate from buy. The broker says the company has reiterated guidance for 30 per cent underlying growth in FY21 subscription revenue at its AGM but did not recommit to the 20 per cent organic top-line growth target. Shares in Fineos Corporation (ASX:FCL) are 0.5 per cent higher at $4.18.

Company news

Nine (ASX:NEC) has inked a three-year $100 million deal with Rugby Australia, obtaining rights to Super Rugby and Wallabies Test matches from incumbent broadcaster Foxtel, which aired the domestic competition for more than two decades.
The mix of cash and free advertising deals includes a two-year extension option for Nine, which will broadcast the sport across Nine and subscription video on demand service Stan. Shares arev1.5 per cent higher at $2.33.

Best and worst performers

The best-performing sector is materials gaining 2.9 per cent while the sector with the fewest gains is utilities rising 0.7 per cent. The best performing stock in the S&P/ASX 200 is REA Group (ASX:REA) rising 8.8 per cent to $139.19 , followed by shares in Nearmap (ASX:NEA) and Domain Holding Australia (ASX:DHG) The worst performing stock in the S&P/ASX 200 is Healius (ASX:HLS) dropping 2.4 per cent to $3.52 , followed by shares in Whitehaven Coal (ASX:WHC) and Tabcorp Holdings (ASX:TAH).

Commodities

Gold is trading at US$1,956 an ounce.
Iron ore is 0.7 per cent higher 117.80
Futures are suggesting a rise of 3.8 per cent.
One Australian dollar is buying 72.75 US cents.