The Australian market recovered in late trade on Monday to end a three-day negative streak as investors came back to pick off bargains among the miners.
Here’s the scoreboard:
- S&P ASX 200: 5,589.90 +23.80 +0.43%
- All Ordinaries: 5,579.20 +22.40 +0.40%
- AUD/USD: 0.7299 +0.0020 +0.27%
Markets in Europe and the US were weaker but on the local market, eight out of ten sectors were higher. The ASX 200 index was lower for much of the day before hitting positive territory in late trade.
Utilities rallied with AGL up 0.83% to $15.80 and Meridian Energy 2.12% to $1.93.
The banks closed flat, with Westpac up 0.35% to $34.36. BHP was up 0.99% to $25.52, but Rio was down 0.02% to $51.19. Fortescue Metals gained 3.01% to $1.71.
Energy stocks were mixed, with the price of oil lower again, with LNG down more than 8% to $3.21 and Woodside Petroleum up 0.59% to $33.86.
Gold stocks again were the favourites with Northern Star, which sold a record 152,446 ounces of gold in the June quarter, closing up 7.43% to $2.17. Ocean Gold added 9.34% to $2.81 and Newcrest 4.53% to 11.780.
The top stories Monday:
1. Atlas Iron shares returned to the ASX board today for the first time since April and immediately fell hard. See this chart on the spectacular rise and fall of the company’s share price. Atlas closed down 70% to $0.036.
2. The National Australia Bank is raising interest rates for investor home loans, following the ANZ and Commonwealth.
3. Another big player. Australia’s third telco player and the second largest broadband supplier is almost a reality after shareholders of iiNet voted in favour of a $1.56 billion takeover from TPG Telecom.
4. Westpac is raising $750 million with a notes offer to increase its capital reserves. The move follows regulator APRA wanting banks to hold more capital against their home lending books.
5. The Ten network’s executive chairman and CEO Hamish McLennan has stepped down from both roles. He is being replaced by chief financial officer Paul Anderson. Ten closed up 2.38% to $0.215.
6. Dr Martin Parkinson, the head of Treasury under the Gillard and Abbott governments, is joining the board of the world’s biggest supplier of explosives. Orica was up 0.16% to $19.20.
7. Goldman Sachs has identified 3 themes driving the big sell off in commodities — and they are a massive risk to Australia.