Australian Indexes at New 4-Year Highs, New Home Sales Up 4.2%

Marcus Jacob
28 Feb, 2013
New York City

Australian stocks closed at a new 4-year high and gained more than 4% in the month. Private sector capital spending declined 1.2% in the December quarter and was estimated at $152 billion in the fiscal year. New home sales increased 4.2% in January.

[R]6:30 PM Sydney – Australian stocks closed at a new 4-year high and gained more than 4% in the month. Private sector capital spending declined 1.2% in the December quarter and was estimated at $152 billion in the fiscal year. New home sales increased 4.2% in January.[/R]

Australian stocks traded higher and the market index closed up at a new four-year high after earnings were ahead of expectations at the end of last quarter.

The ASX 200 index jumped 67.50 or 1.3% to 5,104.10 and the broader All Ordinaries advanced 67.28 to 5,120.40.

The Australian dollar declined to $1.025 after the release of private new capital spending data by the Australian Bureau of Statistics.

Private new capital spending declined 1.2% in the quarter to December in seasonally adjusted terms and for the fiscal 2013 capital spending is estimated at $152.2 billion.

New home sales increased 4.2% in January, fourth monthly increase in a row, according to the Housing Industry Association.

Stock Movers

Rio Tinto climbed $1.04 to $67.05 and BHP gained 38 cents to $37.07. Lend Lease up 1 cent to $10.65. Fortescue Metals Group increased 12 cent to $4.72.

Rio appointed former Transurban chief executive Chris Lynch as chief financial officer replacing Guy Elliott.

Woodside Petroleum jumped $1.30 to $37.50 and Santos advanced 28 cents to $13.41.

Westpac gained 1.9% to $30.77, Commonwealth increased 1.9% to $67.27 and National Australian Bank rose 0.6% to $30.20 and ANZ climbed 1.6% to $28.72.

QBE added 20 cents to $13.38.

Treasury Wine Estate soared 8.2% to $5.30 after the first-half profit soared 31% to $52.30.

Harvey Norman surged 9% to $2.49 after the furniture retailer reported 36% decline six-month profit to $81.9 million and guided stable profit outlook in the current period.