Australian Stock Market Report - Afternoon 12/07/2011
AFTERNOON REPORT (4.30pm AEDT)
The local share market generally rebounded from yesterday's 1.5pct sell-off today, with investor sentiment boosted by hopes European leaders will make progress in addressing the region's debt crisis at the European Union summit being held later this week. The All Ordinaries Index (XAO) added 29.7pts or 0.7pct to 4351.3 while the S&P/ASX 200 Index (XJO) firmed by 30.5pts or 0.7pct to 4292.5.
Official data showed the Australian economy is continuing to expand. GDP or national accounts data showed the Australian economy grew by 1pct in the three months to September, underpinned by the rebuilding efforts in Queensland following this year's floods and cyclones, and the booming mining sector. Annual economic growth stands at 2.5pct, down from the long-term average of 3.25pct.
Most sectors recorded growth, with financials up 0.9pct and the materials sector firmer by 0.7pct. However gold miner Newcrest (NCM) fell 2.4pct to $33.18.
In the energy space, Caltex (CTX) added 3pct to $13.64.
Shares in iiNet (IIN) added 1.8pct to $2.85 after analysts said the company could combine with TPG Telecom (TPM) to become the country's second largest internet service provider. TPM fell 0.7pct to $1.41.
Qantas (QAN) closed steady at $1.62 after Chief Executive Officer Alan Joyce said travel demand in Asia is rising as Australia's biggest carrier continues talks to establish an airline based in Singapore or Malaysia. The growth is helping limit the impact of slowing travel to traditional international destinations such as Europe.
Another leak today occurred at the Orica (ORI) chemical plant near Newcastle. ORI closed higher by 0.1pct to $25.88.
The Australian dollar ended the day's trade at US102.67c, £0.6576 and €76.5c.
On the market overall, a total of 1.9 billion shares were traded, worth $3.8 billion. 534 were up, 429 were down and 373 were unchanged.
At 4.30pm AEDT on the ASX24, the futures contract was at 4308, up 40pts.
No major economic data is released in the US tonight.
Juliette Saly, CommSec Market Analyst
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Qantas (QAN) closed steady at $1.62 after Chief Executive Officer Alan Joyce said travel demand in Asia is rising as Australia's biggest carrier continues talks to establish an airline based in Singapore or Malaysia. The growth is helping limit the impact of slowing travel to traditional international destinations such as Europe.
Another leak today occurred at the Orica (ORI) chemical plant near Newcastle. ORI closed higher by 0.1pct to $25.88.
The Australian dollar ended the day's trade at US102.67c, £0.6576 and €76.5c.
On the market overall, a total of 1.9 billion shares were traded, worth $3.8 billion. 534 were up, 429 were down and 373 were unchanged.
At 4.30pm AEDT on the ASX24, the futures contract was at 4308, up 40pts.
No major economic data is released in the US tonight.