The Australian share market closed 0.7 per cent up after the ABS reported growth in inflation, which came in below analysts expectations. April manufacturing figures in China have also shown slight gains despite continued jitters about China’s future growth prospects.
The S&P/ASX 200 index closed 39 points up to finish at 5,518.
The value of trades was $4.25 billion on volume of 585 million shares at the close of trade.
The top three stocks by value were Commonwealth Bank of Australia
(ASX:CBA), Westpac Banking Corporation
(ASX:WBC) and BHP Billiton Limited
(ASX:BHP).
On the futures market the SPI is 40 points up.
Economic news
Today’s CPI figures from the ABS showed inflation has grown slightly in the March quarter. The annual inflation rate of 2.9 per cent came in below expectations and was followed by a drop in the Aussie dollar. China’s flash HSBC manufacturing PMI survey has shown slight growth in the sector, extending to 48.3 points for April. The index remained below the 50 point mark which is the indicator of expansion in the sector.
Company news
The CEO of JB Hi-Fi Limited
(ASX:JBH) is set to retire. To be replaced by current CFO, Richard Murray.
Outgoing CEO Terry Smart will step-down in August after working with the electronics retailer for 14 years, four of which were spent at the helm. Mr Smart says it was a hard decision but was made easier because the company is in a strong position. JB Hi-Fi closed 0.77 per cent down at $20.64.
Troy Resources Limited
(ASX:TRY) has secured funding of $100 million from Investec to develop its Karouni project.
The gold and silver miner will initially have access to $70 million with the remainder dependent on the progress of the mine in Guyana. Shares in Troy Resources closed 4.28 per cent higher at $0.97.
The oil and gas company Range Resources Limited (ASX:RRS, LON:RRL) has provided an output and financing update while also advising it has missed the deadline for selling its Texas assets.
Rare earths producer Lynas Corporation Limited
(ASX:LYC) has won another battle in a Malaysian court concerning its operating licence.
Scooter manufacturer Vmoto Limited
(ASX:VMT) has just inked a distribution deal with Euro Ebike Company to distribute, stock and market Vmoto and E-Max products in Vietnam.
Newcrest Mining Limited
(ASX:NCM) says it’s on track to deliver annual gold output around the top end of its guidance range as it gears up for a changing of the guard.
To the best and worst performers
All major sectors are trading higher. The best performing sector was financials, excluding real estate, adding 71 points to close at 7,324. The sector with the least gains was real estate investment trusts, gaining 3 points to close at 1,047 points.
The best performing stock in the S&P/ASX 200 was Horizon Oil Limited
(ASX:HZN), rising 10.45 per cent to close at $0.37. Shares in Resolute Mining Limited
(ASX:RSG) and EVOLUTION Mining Limited
(ASX:EVN) also closed higher.
The worst performing stock was Atlas Iron Limited
(ASX:AGO), dropping 3.05 per cent to close at $0.96. Shares in Wotif.com Holdings Limited
(ASX:WTF) and Myer Holdings Limited
(ASX:MYR) also closed lower.
Commodities
Gold is buying $US1,285 an ounce. Light crude is $2.24 down at $US102.13 a barrel. The Australian dollar is buying $US0.92.84.
