Australian Markets Participate in Asian Rally

Marcus Jacob
30 Jul, 2012
New York City

Australian markets closed higher for the third day in a row and resources linked stocks led the advance. Iron ore prices traded near 30-month low ahead of the Chinese manufacturing data later in the week.

[R]7:30 PM Sydney – Australian markets closed higher for the third day in a row and resources linked stocks led the advance. Iron ore prices traded near 30-month low ahead of the Chinese manufacturing data later in the week.[/R]

Australian stocks traded higher on the hopes that political leaders and central bankers in the currency union will follow up on the recent announcements to support the euro and offer a plan to stall the deepening recession in the region.

The ASX 200 index gained 35.90 to 4,245.70 and All Ordinaries index increased 32.51 to 4,266.90. The Australian dollar closed at US$1.049.

In commodities trading, New York oil futures traded near US$90 a barrel and gold in the spot market fetched US$1,618.35.

In trading, turnover decreased to 1.4 billion shares to $3.6 billion and 502 stocks gained, 390 declined and 359 were unchanged.

Stock Movers

BHP Billiton Limited gained 21 cents to $31.63 and, Rio Tinto Limited increased 30 cents to $52.30.

Fortescue Metals Group slid 6 cents to $4.09 on the worries that the recent lows in the iron ore prices may affect company’s plan to raise more capital.

Iluka Resources surged 90 cents or 9.2% to $9.50, Lynas Corporation Limited closed down 0.5 cent to 74.5 cents, Newcrest Mining gained 13 cents to $23.27 and Kingsgate plunged 24 cents or 5.5% to $4.15. Whitehaven Coal slipped 7 cents to $3.64.

Northern Iron soared 11 cents to 1.15 after the mine owner in Norway received a takeover proposal from Swiss based Prominvest AG for $525 million.

Oil Search Limited fell 2 cents to $6.92, Santos Limited slid 3 cents to $10.65 and Woodside Petroleum increased 12 cents to $33.21. Sundance Energy rose 2 cents to 43.5 cents.

Ten Network closed down 0.5 cents to 49.5 cents and Fairfax Media closed unchanged at 54 cents.

Metcash added 5 cents to $3.35, Harvey Norman Holdings closed unchanged at $1.99 and Woolworths rose 3 cents to $28.73. Kathmandu raised 1 cent to $1.17.

David Jones Limited up 3 cents to $2.43 and Wesfarmers fell 1 cent to $32.55. Billabong International Limited added 1 cent to $1.36.

Commonwealth Bank of Australia advanced $1.02 to $57.20 and Bank of Queensland increased 31 cents to $7.50. ANZ gained 32 cents to $23.40. National Australia Bank closed up 36 cents at $24.61 and Westpac Banking Corporation added 26 cents to $23.26.

Macquarie Group slid 3 cents to $24.89 and Perpetual Limited advanced 50 cents to $23.89.

Leighton gained 31 cents to $16.95, Stockland added 9 cents to $3.23 and Toll Holdings rose 3 cents to $4.05.

Qantas rose 1 cent to $1.10 cents, Flight Centre increased 34 cents to $21.30 and Virgin Australia rose 1 cent to 41.5 cents.

QR National closed inched up 1 cent to $3.20.