Senex (ASX:SXY) sells Cooper Basin business to Beach Energy: ASX closed 1.7% higher

Market Reports

by Rachael Jones

It has been a positive day of trade for the Australian share market. After opening in the black the local bourse managed to close 1.7 per cent higher, that’s 116 points up, to finish at 6,790. Austal (ASX:ASB) shares rose on a new US navy contract. Fortescue Metals Group (ASX:FMG) shares dropped lower today. 

Futures market

Dow futures are suggesting a rise of 196 points.
S&P 500 futures are eyeing a rise of 28 points.
The Nasdaq futures are eyeing lift of 150 points.
And the ASX200 futures are eyeing a 127 point risetomorrow morning

Economic news

New loan commitments for housing rose 10.5 per cent to $28.8 billion in January 2021 (seasonally adjusted), reaching another record high, according to Australian Bureau of Statistics (ABS) figures released today. Business indicators show company gross operating profits fell 6.6 per cent seasonally adjusted and ages and salaries rose 1.4 per cent seasonally adjusted for the December quarter.

The Reserve Bank increase bond purchases from $2 billion to $4 billion.

Company news

Senex Energy (ASX:SXY) has completed the $87.5 million sale of its Cooper Basin business to Beach Energy. Senex is now in a proforma net cash position of $33 million, and supports acceleration of the development of its natural gas assets in Queensland’s Surat Basin. There will be a special 0.5 cent per share dividend to shareholders, in addition to the 0.5 cent per share distribution for the FY21 half year. Shares in Senex Energy (ASX:SXY) closed flat at $0.37.

Crown Resorts (ASX:CWN) announced today that John Poynton AO has resigned as a director of Crown and as Chairman and director of Burswood Limited, Crown Perth)with immediate effect.

Austal (ASX:ASB) USA has been awarded a $295 million contract by the United States Navy for the detailed design and construction of the 15th Expeditionary Fast Transport vessel.

Growthpoint Properties Australia (ASX:GOZ) has exchanged contracts to sell its leasehold interest in two properties in Sydney Olympic Park in New South Wales for $66.1 million.

Best and worst performers of the day

The best performing sector was Real Estate Investment Trust adding 3.3 per cent while the worst performing sector was Materials, one with the fewest gains adding 0.3 per cent.

The best performing stock in the S&P/ASX 200 was Austal (ASX:ASB), rising 8.4 per cent to close at $2.57. Shares in Reece (ASX:REH) and Clinuvel Pharmaceuticals (ASX:CUV) followed higher.

The worst performing stock in the S&P/ASX 200 was Fortescue Metals Group (ASX:FMG), dropping 5.9 per cent to close at $22.68. Shares in Ramelius Resources (ASX:RMS) and Silver Lake Resources (ASX:SLR) followed.

Asian markets

higher: Japan’s Nikkei has added 2.1 per cent, Hong Kong’s Hang Seng has added 1.3 per cent and the Shanghai Composite has gained 0.6 per cent.

Commodities and the dollar

Gold is trading at US$1,751 an ounce.
Iron ore price rose 0.9 per cent to US$175.78.
Its futures are pointing to a fall of 1.1 per cent.
Light crude is US$0.95 up at US$58.15 barrel.
One Australian dollar is buying 77.48 US cents.