Following strongly positive leads from all major global markets, the Australian share market jumped higher at the open and is 0.8 per cent up at noon. Strong full year export results from mining giant BHP have also added to market buoyancy. Drill rig supplier Boart Longyear is charging sharply higher in reaction to the news.
The S&P/ASX 200 index is 35 points up at 5,578. On the futures market the SPI is 37 points higher.
Economic news
The Australian Bureau of Statistics says consumer prices have risen 0.5 per cent in the June quarter. This equates to an annual rate of 3 per cent, and an underlying result of 2.7 per cent, broadly in line with market expectations. The Aussie dollar has crashed through 94 cents since the figures were released.
To company news:
Metals miner OM Holdings Limted
(ASX:OMH) has today responded to a price query from the ASX. The share price has spiked from a close of 40 cents on the 14 July to an intra-day high of 55 cents and there’s been an increase in trading volumes. The miner says apart from already disclosed discussions with a potential minority investment in its 80 per cent owned Ferro Alloy smelting project in Sarawak, Malaysia it has no idea why the stock price has jumped so high.
Shares in OM Holding have added 1.87 per cent to $0.55 since the announcement.
Adelaide Brighton Limited
(ASX:ABC) says it has bought the Angaston lime and marble quarry in the fire sale of Penrice Soda assets, and declined to say how much it paid. Penrice Soda collapsed in April with over $150 million in debts. The acquisition is a good fit for the cement company which says it has now secured ‘a high quality marble deposit for the supply of raw material to the company’s Angaston plant for lime and off-white cement manufacture’.
Shares in Adelaide Brighton are trading down 0.41 per cent at $3.60.
Best and worst performers
The best performing sector is materials, gaining 1.2 per cent to 10,472. Shares in Lynas Corporation have risen 11.76 per cent and are trading at $0.19. Shares in Sims Metals and Alumina are also stronger.
The worst performing sector is healthcare, falling 0.02 per cent to 14,354. Shares in Japara Healthcare have fallen 0.43 per cent, trading at $2.33. Shares in Ansell and CSL are also lower.
Gold and the dollar
Gold is trading at $US1,308 an ounce.
The Australian dollar is buying 94.32 cents.