Australian Index Rebounds 1.4%; Amcor, Billabong, BlueScope in Focus

Marcus Jacob
20 Feb, 2012
New York City

Australian stocks gained after commodities gained and earnings release from several companies. Amcor said its first half core earnings increased 13.9%. BlueScope reported ten-fold increase in first half to December. Billabong jumped 8% after a leveraged buyout group made a highly conditional offer.

[R]8:00 PM Sydney – Australian stocks traded higher after commodities gained and earnings release from several companies. Amcor said its first half core earnings increased 13.9%. BlueScope reported ten-fold increase in first half to December. Billabong jumped 8% after a leveraged buyout group made a highly conditional offer.[/R]

Australian stocks traded higher ahead of the Greek bailout decision later today in Brussels and a raft of earnings release dominated trading sentiment. Stocks were higher after commodities closed higher and resources linked stocks closed up.

The ASX 200 index closed higher 60.2 to 4,256.1 and All Ordinaries index added 59.5 to 4,332.8.

In trading, volume rebounded to 2 billion shares worth $4.8 billion from 1.87 billion shares worth $4.2 billion on Friday. Of the shares traded, 658 increased, 392 decreased and 368 were unchanged.

The Australian dollar edged higher to close at $1.0736.

Stock Movers

BHP Billiton Ltd rose 82 cents to $36.03 and Rio Tinto Ltd added $1.47 cents to $68.04 and the company announced rail network expansion in Pilbara region worth $518 million.

Fortescue Metals Group added 16 cents to $5.45.

Lynas Corporation Limited closed up 7 cents to $1.28 and Iluka Resources increased 27 cents to $16.87. Newcrest Mining fell $1.13 to $34.90.

Oil Search Limited increased 8 cents to $6.55, Santos Limited rose 44 cents at $14 and Woodside Petroleum increased 58 cents to $35.51.

BlueScope Steel declined 1 cent to 36.5 cents after the first half net loss to December shot up to $530 million from $55 million in the year ago period.

Amcor gained 27 cents to $7.15 after the packaging company reported 13.9% increase in first half profit.

Commonwealth Bank of Australia decreased 58 cents to $49.10, Westpac added 50 cents to $20.65 and NAB increased 46 cents to $23.18. ANZ increased 40 cent to $21.95.

David Jones Limited increased 1 cent to $2.47 and Harvey Norman Holdings added 5 cents to $2.06. Woolworths increased 31 cents to $25.17.

Billabong International Limited increased 8% to $2.83 after a leveraged buyout group TPG made a formal offer for the surfwear retailer at $3 a share or $740 million. The board said in a statement that it will review the offer that is highly conditional and subject to financing and due diligence.

Qantas Airways Ltd added 4 cents to $1.67, Virgin Australia closed unchanged at 35.5 cents and Flight Centre increased 66 cents to $20.73.

QR National closed up 11 cents to $3.79.