Aussie Dollar and Stocks Advance, Strong Housing Demand in Perth

Marcus Jacob
17 Sep, 2015
New York City

Australian market indexes traded higher and the Aussie dollar jumped above 72 U.S. cents. Finbar Group sold $61 million worth of apartment in Perth ahead of launch of construction in early 2016, highlighting continued strength in demand for housing.

[R]5:30 PM Sydney, Australia – Australian market indexes traded higher and the Aussie dollar jumped above 72 U.S. cents. Finbar Group sold $61 million worth of apartment in Perth ahead of launch of construction in early 2016, highlighting continued strength in demand for housing.[/R]

Australian stocks rebounded following international markets rebound and investors focused on the latest quarterly bulletin from the reserve bank.

Reserve Bank of Australia in its quarterly bulletin noted the impact of falling commodities prices on household income and also offered a cautious view on the housing market environment.

Australian dollar closed at 71.88 U.S. cents and in stock trading turnover added to 936 million shares worth $6.3 billion.

At close, the ASX 200 Index jumped 47.90 or 0.9% to 5,146.80 and the broader All Ordinaries Index increased 47.60 to 5,171.20.

In commodities trading, gold soared US$15 to US$1,121 an ounce and Brent crude future for immediate month delivery decreased 63 cents to US$49.12 a barrel.

Australian Stock Movers

Finbar Group Limited slipped 0.9% to $1.15 after the apartment developer sold apartments worth $61.2 million at Civic Heart Project in South Perth. The construction is expected to start in early 2016.

The company said it sold a total of 660 contracts worth $480 million across all projects.

GDI Property Group Ltd decreased 1.1% to 90.5 cents after the real estate developer said it has exchanged contracts to acquire 223–237 Ashfield in western Sydney worth about $35 million.

Kathmandu Holdings Ltd declined 5.8% to $1.31 after the New Zealand-based outdoor clothing and equipment retailer’s takeover bid offer from Briscoe Group closed today.

OrotonGroup Limited soared 4.5% to $2.34 after the luxury accessories retailer said revenues in the year ending on jumped 5.7% from a year ago to $132 million.

Profit in the year tumbled 68.3% to $2.62 million compared to $8.26 million and diluted earnings per share declined to 6.33 cents from 20.15 cents in the same period a year ago.