Financial sector boosts market: ASX closes 0.5% higher

Market Reports

by Rachael Jones

It has been a positive day of trade for the Australian share market. The local bourse managed to close 0.5 per cent higher. Financials was the sector that performed the best today with Commbank (ASX:CBA) leading the gains.

The S&P/ASX200 index

At the closing bell the S&P/ASX 200 index closed 33 points higher to finish at 6,531.

Futures market

Dow futures are suggesting a fall of 28 points.
S&P 500 futures are eyeing a dip of 4 points.
The Nasdaq futures are eyeing a rise of 6 points.
And the ASX200 futures are eyeing a 33 point rise tomorrow morning.

Economic news

Australian wage growth has fallen to its lowest level on record during the third quarter, slipping to 1.4 per cent year-on-year, from the previous record low of 1.8 per cent during the second quarter.

Company news

Dexus (ASX:DXS) has conditionally exchanged contracts to sell a 50 per cent interest in Grosvenor Place, Sydney. The 50 per cent interest comprises 25 per cent owned by Dexus and 25 per cent owned by the Dexus Office Partnership, in which Dexus holds a 50 per cent interest. The sale will realise total net proceeds of $925 million for the 50 per cent interest or $694 million for Dexus. The sale is subject to foreign investment review board approval and settlement is expected to be completed in early 2021. Shares in Dexus (ASX:DXS) closed 0.3 per cent higher at $9.85.

CIMIC Group’s (ASX:CIM) CPB Contractors has been selected by the Australian Government’s Department of Defence to deliver the development phase of the Australia-Singapore Military Training Initiative (ASMTI) facilities project in North Queensland.

Decmil Group Limited (ASX:DCG) been awarded approximately $51 million in works as part of the balance of plant contract at the Ryan Corner Windfarm in Victoria.

Best and worst performers of the day

The best performing sector was Financials adding 1.7 per cent while the worst performing sector was Energy, shedding 0.7 per cent.

The best performing stock in the S&P/ASX 200 was Alumina (ASX:AWC), rising 5.9 per cent to close at $1.72. Shares in Whitehaven Coal (ASX:WHC) and Bendigo and Adelaide Bank (ASX:BEN) followed higher.

The worst performing stock in the S&P/ASX 200 was The A2 Milk Company (ASX:A2M), dropping 4.8 per cent to close at $13.98. Shares in Cooper Energy (ASX:COE) and Oz Minerals (ASX:OZL) followed lower.

Asian markets

Mixed: Japan’s Nikkei has lost 0.7 per cent, Hong Kong’s Hang Seng has gained 0.5 per cent and the Shanghai Composite has gained 0.5 per cent.

Commodities and the dollar

Gold is trading at US$1,881 an ounce.
Iron ore price is 1.1 per cent up at US$125.44.
Iron ore futures are pointing to a rise of 0.9 per cent.
Light crude is US$0.05 lower at US$41.38 a barrel.
One Australian dollar is buying 72.94US cents.

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