Last week the Australian share market ended lower closing out
a hard week for investors. However this morning the market seems
a bit brighter thanks to higher commodity prices over the weekend
and no negative news hitting the screens. At lunchtime in the
East, the All Ordinaries Index (XAO) is higher by 4pts to
The London Metal Exchange (LME) listed slight gains on Friday
especially in copper and this has helped our big
miners lead the way on the Aussie exchange. The S&P/ASX 200
Materials Index is currently up 0.02pct. BHP Billiton Limited (
) is slightly lower off 0.15 pct to $34.35.sectors, while Rio
) is down 0.11 pct or 97 cents to $63.63. Rival iron ore player,
Fortescue Metals Group Ltd (FMG) is up 1pct to $6.06. Australian
gold producers are moving higher this morning after the US$20 an
ounce run in the gold price on Friday night on the COMEX exchange
in New York, to US$1,665 an ounce. Kingsgate Consolidated Limited
(KCN) is up 1.6 pct and gold and nickel explorer Independence
Group NL (IGO) one of the only stocks higher on Friday off
slightly this morning.
Chemical and fertilisers producers Nufarm Limited (NUF) is up
nearly 1.3 pct to $5.15, while Incitec Pivot Limited (
) has added 1pct.
Energy stocks higher following gains in US oil prices.
Woodside Petroleum Limited (WPL) up 0.6pct to $35.58.
Qantas Airways Limited (QAN) has announced a joint venture
with China Eastern today which will create a new budget airline
called Jetstar Hong Kong, under a new agreement reached with
China Eastern Airlines. Jetstar Hong Kong will serve short course
flights in and around China and to Japan and South Korea. Qantas
will begin flights in 2013 and Qantas share price is up 2.3 pc to
$1.77, while its rival in the leisure travel market Virgin
Australia Holdings Limited (VAH) is flat. On Friday
administration firm Korda Mentha placed the struggling airline
Australia into liquidation at a meeting of creditors in Brisbane.
The airline ceased to fly and trade in early February when it did
not have any free funds to pay for Jet fuel on returning flights
from Hawaii and Phuket.
Elsewhere food manufacturer Goodman Fielder Limited (
) is up nearly 2 pct. Telstra Corporation Limited (TLS) is
reasonably quiet in morning trade
at $3.25 up 0.31 pct. And after the strong run in the health care
sector last week big name health care stocks are lower in morning
trade, the S&P/ASX 200 HealthCare sector under pressure off
0.25pct, with blood and plasma maker CSL Limited (
) now down 0.3 pct to $34.12 and Ramsay Health Care Limited (RHC)
is down 1pct.
Rail transport firm, QR National Limited (QRN) is off another
1.8pct in morning trade after its full year profit guidance
downgrade on Friday. While rail rival Asciano Limited (AIO) is up
another 0.8pct, and Toll Holdings Limited (TOL) higher by
Banking stocks are mainly higher, with ANZ Banking Group
Limited (ANZ) firmer by 0.4pct to $22.84 while Westpac Banking
Corporation Limited (WBC) is up 0.3pct to $21.44 . QBE Insurance
Group (QBE) has reversed Friday's gains to be down 2.9pct in
early trade to $13.98. Bank of Queensland (BOQ) told the market
it expects to post a loss of $91 million for the first 6 months
for 2012 large because of a reduction in the value of its loan
book. However the bank is working to cut costs and plans to raise
$450 million through equity raisings, BOQ is down 0.68pct to
The Australian dollar is currently buying US104.64c and
Juliana Roadley, CommSec Market Analyst
[Kick off your trading day with our newsletter]
More from IBT Markets:
Follow us on Facebook.
Follow us on Twitter.
Subscribe to get this delivered to your inbox daily