The Australian share market has broken a six day losing streak and made a stellar end to the session; closing 2.42 per cent higher. Investors seem completely unphased by the FOMC decision tomorrow morning, where it’s expected that the Federal Reserve will raise interest rates by 25 basis points. The big banks have been doing the bulk of the heavy lifting today, but it was the healthcare space that made losses after the Federal government announced there would be cuts to healthcare funding.
The S&P/ASX 200 index closed 119 points higher to finish at 5,028.
The value of trades was $6.1 billion on volume of 995 million shares at the close of trade. The top three stocks by value were Commonwealth Bank of Australia
(ASX:CBA), BHP Billiton Limited
(ASX:BHP) and Westpac Banking Corporation
(ASX:WBC).
On the futures market the SPI is 120 points higher.
Company news Senex Energy Limited
(ASX:SXY) and GLNG have completed the transaction for the development of the Western Surat Gas Project in Queensland, announced on the 24th of September this year. The company says the completion of the transaction is a milestone in Senex’s strategy to capitalise on the growth in Australia’s east coast gas market. Shares in Senex Energy closed 4.17 per cent higher at $0.13.
Rio Tinto Limited
(ASX:RIO) has signed a US$4.4 billion project financing agreement for its Oyu Tolgoi underground mine in Mongolia.
Starpharma Holdings Limited
(ASX:SPL) has signed a Memorandum of Understanding with a Chinese company who is a major provider of condoms to the Chinese government.
Fonterra Co-Operative Group
(ASX:FSF) has announced its intention to sell its Australian yoghurt and dairy desserts business to Parmalat Australia.
Flight Centre Travel Group
(ASX:FLT) is looking to boost its presence in both the online and youth travel sectors via the acquisition of the US-based StudentUniverse.com group of companies.
Best and worst performers
The best performing sector was REITs adding 3.7 per cent to close at 1,299. The worst performing sector was Healthcare, losing 0.15 per cent to close at 19,027 points.
The best performing stock in the S&P/ASX 200 was Crown Resorts, rising 10.52 per cent to close at $11.77. Shares in Arrium and Domino’s Pizza also closed higher.
The worst performing stock was Primary Healthcare, dropping 9.69 per cent to close at $2.33. Shares in Sonic Health and AWE also closed lower.
IPOs Digimatic Group Limited
(ASX:DMC) started trading today. The digital marketing company listed with an issue price of $0.20, opened at $0.33 and a closed at $0.395. Absolute Equity Performance Fund Limited
(ASX:AEG) also started trading today. The listed investment company floated with an issue price of $1.10, opened at $1.15 and closed at $1.15.
Commodities and the dollar
Gold is trading at $US1,064 an ounce.
Light crude is $0.38 higher at $US37.98 a barrel.
The Australian dollar is buying 72.05 US cents.
