AustralianDollar Advances; Macarthur Up 10%

Mayank Mehta
09 Apr, 2010
New York City

Stocks in Australia closed higher as commodities prices trade at elevated levels in international markets. Macarthur Coal Limited led gainers in the S&P ASX 200 index with a rise of 10.2% after it received takeover offer from New Hope Corp Ltd. Gindalbie Metals signs $1.2 billion loan facility.

[R]9:00 PM Sydney, Australia – Stocks in Australia closed higher as commodities prices trade at elevated levels in international markets. Macarthur Coal Limited led gainers in the S&P ASX 200 index with a rise of 10.2% after it received takeover offer from New Hope Corp Ltd. Gindalbie Metals signs $1.2 billion loan facility for Karara project.[/R]

Rising expectations of global economic recovery and exports to China lifted stocks and the Australian dollar higher.

ASX 200 index in Australia increased or 11.40 or 0.23% to 4,949.30 and of the stocks in S&P ASX 200 index, 118 increased, 61 declined and 21 were unchanged.

The Australian dollar increased 0.5% to 93.36 U.S. cents and traded at a four month high against the dollar. Australian government 10-year bond yield declined 0.04 percentage point to 5.81%. Two-year notes yields increased to 5%.

ASX Movers

Macmahon Holdings Limited led decliners in the S&P ASX 200 index with a loss of 3.5% followed by losses in Panoramic Resources Limited of 3.3%, in iSOFT Group Limited of 2.5%, in BlueScope Steel Limited 2.3% and in Pacific Brands Limited 2.1%.

Macarthur Coal Limited led gainers in the S&P ASX 200 index with a rise of 10.2% followed by gains in Whitehaven Coal Limited 6.6%, in AWB Limited of 5.8% and in Eastern Star Gas Limited of 5.7%.

Other Movers

BlueScope Steel Limited decreased 2.3% to A$2.90.

Centennial Coal Company Limited the coal miner added 2.9% to A$4.56.

Gindalbie Metals Ltd rose 1.1% to A$1.34 after the iron ore company said Friday it signed the term sheet for a $1.2 billion loan facility to use for its works on its Karara iron ore site in Western Australia state.

Gloucester Coal Ltd increased 3.8% to A$12.20.

Macarthur Coal Limited surged 10.3% to A$15.85 after the company received a rival bid from New Hope Corporation Limited which values the firm at A$3.71 billion or $3.45 billion company said.

New Hope Corporation Limited fell 0.3% to A$5.29 after the coal miner said on Friday that contrary to media reports, it has not received any takeover approach from coal giant Xstrata.