Australian Index Retain Positive Momentum

Marcus Jacob
19 Dec, 2012
New York City

Australian benchmark index closed higher on the rising international markets and improving economic outlook in the euro zone and positive undertone in the U.S. budget negotiations. Resource sector stocks gained after iron prices improved to a 3-month high.

[R]7:30 PM Sydney – Australian benchmark index closed higher on the rising international markets and improving economic outlook in the euro zone and positive undertone in the U.S. budget negotiations. Resource sector stocks gained after iron prices improved to a 3-month high.[/R]

Stocks in Sydney traded higher on the rising optimism of budget talks in the U.S. and improving sentiment in the euro zone.

The ASX 200 index climbed 22.60 or 0.5% to 4,617.80 and the broader All Ordinaries increased 22.70 to 4,633.25.

The benchmark index closed higher in eight of the last nine sessions and the index is up 12% for the year so far.

Australian dollar backed off from its 3-month high to $1.0451.

In stock trading, turnover decreased to 1.65 billion shares worth $4.33 billion and 493 stocks increased, 420 decreased and 375 closed unchanged.

Stock Movers

BHP Billiton Limited jumped 40 cents to $37.06 and Rio Tinto Limited climbed $1.01 to $65.71.

Lynas Corporation Limited advanced 2.5 cents or 4.2% to 61.5 cents, Iluka Resources climbed 35 cents or 4.2% to $8.65 and Fortescue Metals increased 6 cents to $4.66.

Mirabela Nickel gained 0.5 cents to 47.5 cents and Newcrest Mining plummeted 72 cents to $22.56. Kingsgate slid 2 cents to $4.59.

Whitehaven Coal surged 26 cents or 8.1% to $3.47 after the company confirmed that it held talks with China based Shenhua Group but no offer was discussed.

Transfield Services down 1 cent to $1.88 and engineering contractors WorleyParsons jumped 29 cents to $23.59.

Monadelphous Group advanced 45 cents to $23.39. Downer EDI decreased 6 cents to $3.92 after the company agreed to a settlement of S$50 million for a tunnel dispute in Singapore.

Lend Lease gained 5 cents to $9.12.

Oil Search Limited added 1 cent to $7.07 and Santos Limited increased 9 cents to $10.88.

Woodside Petroleum up 2 cents to $33.90 and Origin Energy Limited increased 40 cents to $11.67.

Caltex Australia climbed 16 cents to $19.04 after the oil refiner estimated profit in the current year on strong oil products sale and better refining margins.

Seven West Media slipped 3 cents to $1.62. Harvey Norman Holdings added 2 cents to $1.88.

APN News & Media gained 0.5 cents to 27.5 cents after the company issued a profit warning and said publishing revenues have declined 10% since June.

Woolworths slumped 6 cents to $29.39 and Kathmandu added 1 cent to $1.54.

David Jones Limited lowered 4 cents to $2.45 and Wesfarmers jumped 22 cents to $36.13. Breville Group decreased 4 cents to $6.40.

Billabong International Limited plunged 13 cents or 13.3% to 85 cents before the stock was halted after the president of the American unit offered to acquire the company for $1.10 a share.

Commonwealth Bank of Australia slumped 12 cents to $61.33 and Bank of Queensland added 2 cents to $7.28 and ANZ increased 13 cents to $24.64.

Macquarie Group jumped 84 cents to $34.82 and Perpetual Limited gained 15 cents to $34.38. National Australia Bank increased 20 cents to $24.80. Westpac slid 1 cent to $25.80.

Toll Holdings up 1 cent to $4.54, Leighton climbed 25 cents to $17.55 and property developer Mirvac Group closed unchanged at $1.48.

Westfield Group slipped 8 cents to $10.53.

Qantas added 2 cents to $1.45, Flight Centre increased 20 cents to $26.50 and Virgin Australia lowered 1 cent to 40.5 cents.

Telstra gained 4 cents to $4.34.