The Australian market made strong gains as resources stocks rallied on the back of good rises in commodities, including iron ore.
Here’s the scoreboard:
- S&P ASX 200: 5,982.70 +49.41 (+0.83%)
- All Ordinaries: 5,954.80 +48.03 (+0.81%)
- AUD/USD: 0.7827 +0.0005 (+0.06%)
In the US, the S&P 500 index closed up 0.2%.
On the local market, nine out of ten sectors were higher, adding to Friday’s 1.5% gain.
The jump in iron ore prices pushed Fortescue Metals up by more than 16% to $2.57 and BC Iron 26% to 0.53. Among energy stocks, Santos was up 4.38% to $8.35 and Woodside Petroleum 1.38% to 35.89.
The big miners got the flow on with Rio Tinto closing up 3.3% to $59.77 and BHP 1.62% to $32.57.
The top stories Monday:
1. Everyone’s eyeing iiNet. M2’s competing bid against TPG values iiNet at $2.25 billion. iiNet shares closed up 13% to $9.80.
2. Iron ore blues. The rally in iron ore prices could stop the RBA from easing official interest rates in May. Also see: Joe Hockey may have inadvertently called the bottom of the iron ore market.
3. Crowdsourcing marketplace Freelancer has just completed a $10 million raising through a share placement deal to fund its acquisition of Escrow.com for $US7.5 million.
4. Grey market. MYOB, which is starting book build this week to determine the final price ahead of its expected IPO on May 4, is trading at the upper end of the spectrum.