Australian Indexes Extend 7-Day Rally; Freelancer Surges, Whitehaven Falls

Marcus Jacob
30 Jan, 2015
New York City

Resource stocks led the gainers in Sydney and market indexes extended advance for the seventh day in a row. Aussie dollar edged how on the growing speculation that the Reserve Bank of Australia may lower rate sooner than expected.

[R]5:30 PM Sydney – Resource stocks led the gainers in Sydney and market indexes extended advance for the seventh day in a row. Aussie dollar edged how on the growing speculation that the Reserve Bank of Australia may lower rate sooner than expected.[/R]

Stocks in Sydney closed higher for the seventh day in a row on the growing population that Reserve Bank of Australia may cut rates sooner than expected.

The Australian Bureau of Statistics reported producer price index in the fourth-quarter rose 0.1% followed by 0.2% increase in the third-quarter.

For the year, producer prices index jumped 1.1% from 1.2% in the previous three months.

Australian dollar closed at 77.87 U.S. cents and in stock-trading turnover jumped to 1.09 billion shares worth $8.72 billion.

ASX 200 Index gained 18.80 or 0.3% to 5,588.30 and broader All Ordinaries Index rose 19.40 to 5,551.60.

For the week, ASX 200 soared 5.7% and for the month climbed 3.4%.

In commodities trading, gold declined US$21 to US$1,261 an ounce and light crude oil added 8 cents to US$44.53 a barrel.

Brent crude increased 22 cents to close at US$49.35 a barrel.

Australian Stock Movers

Freelancer Limited surged 13.3% to 68 cents after the online freelance services marketplace operator said revenues in the fourth-quarter ending in December rose 7.6% to $7.4 million and surge 42.1% form a year ago. As of December the company has a cash balance of $20.2 million.

At the end of 2014, the company had 14.3 million registered users compared to 9.7 million a year ago and projects and contests business recorded 6.9 million from 5.2 million a year earlier.

Newcrest Mining Limited slipped 1% to $13.56 after the mining company reported production of gold in the December-quarter increased to 577,110 ounces, more than the previous forecast.

The gold miner also lifted its production estimate between 2.3 million ounces and 2.5 million ounces in the fiscal year, up 100,000 ounces from earlier outlook.

The miner said production of copper in the December quarter was 25,508 tons and raised full-year estimate to between 90,000 tons to 100,000 tons.

The company lowered its full year cost forecast in the range of $2.3 billion and $2.5 billion.

Seven Group Holdings Ltd decreased 1.5% to $5.13 after the diversified investment company lifted its stake up to 4.9% in the oil and gas producer in Beach Energy for $60 million.

Shares of Beach Energy Ltd surged 6.7% to 96 cents.

Whitehaven Coal Limited declined 4.6% to $1.24 after the coal producer reported revenues in the first-half ending in December plunged 8% to $371.8 million from $405.5 million a year ago period.

Net loss in the period widened to $77.9 million compared to a loss of $11.6 million in the same period a year ago.