Buoyant market hits four-year high
The benchmark S&P/ASX 200 Index closed up 18.5 points, or 0.37 per cent, at 5081.9, its highest close since September 2008.
RBS Morgans senior private client adviser Bill Chatterton said there had been gains in most sectors, with the materials sector performing particularly well.
"We're right in the middle of reporting season and so far we've had some disappointments in the odd one, but on balance it's been reasonably good," he said.
Europe's main sharemarkets mostly fell on Monday after a weekend meeting of the Group of 20 leading economies ended with Japan being spared an accusation of unfairly devaluing its currency. Wall Street was closed for the Presidents' Day public holiday.
BHP Billiton surged 33¢ to $39 and Fortescue gained 5¢ to $5.18 but Rio Tinto fell 38¢ to $70.51,
Beverage company Coca-Cola Amatil announced its annual profit had fallen by 22 per cent as it dealt with weak consumer spending and the high dollar, but its shares closed 27¢ higher at $13.90.
Engineering company Monadelphous said it continued to benefit from huge investments in resource projects, posting a record $79.1 million result in the first half of 2012-13. But Monadelphous shares fell $1.68 to $26.17 due to an uncertain lookout.
Steel and mining group Arrium fell further into the red as the high dollar and weak construction markets cause a huge write-down on its assets, forcing its shares down 2.5¢ to $1.235.
Ports and rail operator Asciano has increased its first-half profit by 74 per cent and forecast more earnings growth in the second half, pushing its shares 10¢ higher to $5.35.
The Reserve Bank released the minutes of its February meeting, where it kept the cash rate at 3 per cent. The minutes indicated the bank was waiting to see how recent interest rate cuts would flow through the economy before deciding if it needed to cut the rate again.
Bond futures were weaker. The March 10-year bond futures contract was trading at 96.44 (implying a yield of 3.56 per cent), down from 96.445 (3.555 per cent) on Monday. The three-year contract was at 97.09 (2.91 per cent), down from 97.08 (2.92 per cent).
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The benchmark S&P/ASX 200 closed up 18.5 points (0.37%) at 5,081.9 — its highest close since September 2008. The rise reflected gains across most sectors during reporting season, with the materials sector performing particularly well.
Gains were broad-based, with the materials sector performing especially well. RBS Morgans senior private client adviser Bill Chatterton said reporting season had been mixed with a few disappointments, but on balance it had been reasonably good so far.
BHP Billiton rose 33 cents to $39, Fortescue gained 5 cents to $5.18, while Rio Tinto fell 38 cents to $70.51, according to the article's market close figures.
Coca‑Cola Amatil reported an annual profit decline of 22% due to weak consumer spending and a high dollar, yet its shares still closed 27 cents higher at $13.90 on the day reported.
Engineering group Monadelphous posted a record first‑half result of $79.1 million, benefiting from large investments in resource projects. However, its shares fell $1.68 to $26.17 as the company faced an uncertain outlook.
Steel and mining group Arrium recorded a large write‑down driven by the high dollar and weak construction markets and its shares fell 2.5 cents to $1.235. Ports and rail operator Asciano increased first‑half profit by 74% and forecast further earnings growth, pushing its shares up 10 cents to $5.35.
The Reserve Bank kept the cash rate at 3% and noted in its February minutes that it was waiting to see how recent interest‑rate cuts flowed through the economy before deciding whether further cuts were needed.
Bond futures were weaker: the March 10‑year bond futures contract traded at 96.44 (implying a yield of 3.56%), down slightly from 96.445 (3.555%). The three‑year contract was at 97.09 (2.91%), down from 97.08 (2.92%).
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