Australian Stocks in Bull Market Phase, Flood Claims Surge

Marcus Jacob
29 Jan, 2013
New York City

Australian markets added 1.1% and extended six months gain to bull market territory. Flood claims increased to 10,000 and total damages are expected to reach $100 million. Financial markets regulator stricter compliance at Macquarie Equities.

[R]6:30 PM Sydney – Australian markets added 1.1% and extended six months gain to bull market territory. Flood claims increased to 10,000 and total damages are expected to reach $100 million. Financial markets regulator stricter compliance at Macquarie Equities.[/R]

Stocks and markets indexes in Sydney reached a new 21-month high as investors continue to add more exposure to risk based assets. In the last six months Australian benchmark index has gained 20% reaching a bull market territory.

The ASX 200 index climbed 53.80 or 1.1% to 4,889 and the broader All Ordinaries increased 51.97 to 4,910.85.

The Australian dollar declined and closed at $1.0452.

In trading, turnover increased to 1.9 billion shares worth $5.1 billion and 571 stocks increased, 435 decreased and 367 were unchanged.

Stock Movers

Insurance companies were in focus after claims linked to Cyclone Oswald reached 10,000 and total cost of damage is expected to cross $100 million.

Suncorp declined 21 cents or 1.9% to $10.70 and said it has received so far 4,500 claims and estimate additional claims as flood waters have not peaked in Queensland and NSW.

QBE dropped 3% and IAG declined 0.2%.

Yancoal closed at 93 cents and the company said one of its open cut mines in Queensland had flooded and production is expected to halt at least three weeks.

Newcrest Mining dropped 39 cents to $23.23. Kingsgate plunged 35 cents or 8% to $4.05 and Whitehaven Coal slid 1 cent to $3.49.

Fortescue Metals Group traded volatile and up 13 cents to close at $4.69 after the company said it shipped 19.6 million tons of iron ore. The company also said it received $111 a dry tonnage.

Transfield Services closed unchanged at $1.78 and engineering contractor WorleyParsons climbed $1 or 4.1% to $25.32. Monadelphous Group up 43 cents to $26.62 and Downer EDI lowered 2 cents to $4.39.

Lend Lease gained 6 cents to $10.25.

Lake Oil soared 50% or 0.2 cent to 0.6 cents after mining billionaire Gina Rinehart acquired a stake in the oil and gas explorer.

Oil Search Limited added 9 cents to $7.20 after the company said it produced 6.38 million barrels of equivalent energy that met the company’s estimate.

Santos Limited slipped 3 cents to $11.82. Beach Energy increased 2 cents to $1.40 and said the company is still on track to meet its full-year production target despite a fall in second quarter earnings.

Woodside Petroleum gained 10 cents to $35.85 and Origin Energy Limited up 15 cents to $12.42.

Woolworths increased 26 cents to $31.87 and Kathmandu slid 1 cent to $1.72.

David Jones Limited jumped 9 cents to $2.54 and Wesfarmers climbed 87 cents to $38.82. Breville Group advanced 15 cents to $6.85.

Billabong lowered 2 cents to 94.5 cents.

Commonwealth Bank of Australia increased $1.14 to $64.73 and Bank of Queensland gained 4 cents to $8.10 and ANZ climbed 44 cents to $26.51. National Australia Bank jumped 48 cents to $27.72. Westpac advanced 67 cents to $28.22.

Toll Holdings increased 10 cents to $5.18, Leighton gained 30 cents to $20.30 and property developer Mirvac Group added 2 cents to $1.58.

Westfield Group advanced 8 cents to $11.05.