Close The Australian share market finished its highest close in over four months, buoyed by regional markets and with National Australia Bank and gold miners posting solid gains
At the close, the benchmark S&P/ASX200 Index was up 35 points, or 0.8 per cent, at 4661.5, while the broader All Ordinaries Index added 33.6 points, or 0.7 per cent, to 4702.7.
Among the sectors, materials and financials both rose 1 per cent, while a new record gold price lifted gold shares 1.7 per cent.
need2know:
- Asian shares buoyed by yen intervention
- The dollar leaps to around 94 US cents
- Oil drops to $US76 a barrel
- Gold steadies at $US1268, near record
- Dow futures hover at 10,470
The local market received a boost from the Japanese sharemarket, where the Nikkei jumped 2.3 per cent after authorities intervened to weaken the yen, boosting shares of Toyota Motor Corp and other exporters.
The Australian dollar held just below two-year-highs against the US dollar hit in offshore trade and jumped to a five-week peak against the yen after the Japanese intervention.
EL&C Baillieu Stockbroking director Richard Morrow said today’s trading trends revealed a mixed mood among local investors.
‘‘It suddenly took off in the mid-afternoon in reaction to global trends, Mr Morrow said. ‘‘It sort of suggests to us that there’s indecision out there about the direction - we seem to be on a bit of a knife edge.
‘‘There’s still the double-dip recession brigade who are pushing that pretty hard, and then there’s some people who are looking at the actual fiscal data coming out of economies of Asia, America and Europe and thinking that it’s actually pretty good.’’
‘‘So the jury’s out - there’s no consensus there.’’
Gold major Newcrest finished the day 1.3 per cent, or 50 cents, higher at $39.50.
NAB a winner
National Australia Bank shares rose after the bank abandoned its $13.3 billion takeover plans for AXA Asia Pacific Holdings (AXA APH) after it was blocked for the second time by the competition regulator.
NAB finished 72 cents stronger at $25.94, AMP added 6 cents to $5.14 and AXA APH was flat at $5.18.
Westpac rose 26 cents, or 1.1 per cent, to $23.63, ANZ added 14 cents, or 0.6 per cent, to $24.16 and Commonwealth Bank finished 20 cents stronger at $53.80.
In other news, the Queensland government said it would back a multi-billion-dollar plan to transmit hydropower from PNG to the state’s north. Qld Premier Anna Bligh and the PNG government were due to sign a memorandum of cooperation later on Wednesday with project proponents Origin Energy and PNG Energy Developments.
Origin Energy shed 17 cents, or 1.1 per cent, to $15.48.
Among other energy stocks, Woodside Petroleum finished 80 cents, or 1.9 per cent stronger, at $43.70 and Santos was down 6 cents at$12.72.
Big miners rise
BHP Billiton was up 39 cents at $39.44, while fellow mining giant Rio Tinto added 15 cents to $75.30.
Among retail stocks, Woolworths was up 14 cents at $28.58 and Coles owner Wesfarmers lost 19 cents to $33.69.
Sundance Resources was the top-traded stock by volume, with 99.02 million shares worth $25.28 million changing hands.
Preliminary market turnover was 2.51 billion shares worth $6.01 billion, with 624 stocks up, 440 down and 357 unchanged.
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AAP, with BusinessDay