The market is up 17. The SFE Futures were down 13 this morning.
Wall St. down 15. Fell for the first time in 6 sessions. Up 9 at best and down 71 at worst. Both Oil and Gold finished higher. Gold put on another $7.50 to $1065 and Oil 88c to $74.15. The Aussie dollar was up to 90.86c compared to 90.72c yesterday morning. The Dow Futures are up 66 after Intel announced better-than-expected results after hours.
Making the news today…
- The Commonwealth Bank PERLS 5 listed this morning at a premium to its listing price of $200. Now trading at $204.75. The code is CBAPA. At the time of the offer it was described as fairly, not cheaply, priced and that there was no need to rush into the issue.
- Talk of Boral Ltd (BLD) undertaking a capital raising sooner rather than later. The AFR suggests with the share price up 5% recently, it might be an ideal time to tap the market. It also suggests CSR Ltd (CSR) will raise capital, between $300m and $400m, when it reports next month to help fund its demerger. BLD up 16c to 595c. CSR up 3c to 197.5c.
- Talk of Ascendia (owns Rebel Sport and Amart All Sport) listing on the market – another company being sold by private equity. It follows the sale of Myer by private equity. Seems the private equity guys aren’t confident of the market going up forever….must be going up then considering they all bought in at the top.
- Roger Corbett has been named as the next Chairman of Fairfax Media (FXJ). FXJ down 0.5c to 172.5c.
- Patersons has upped its earnings expectations on JB Hi-Fi (JBH) on the back of its AGM this morning. They maintain their Buy recommendation. JBH said it was on track to record a 20% rise in FY sales to $2.8bn. The Reject Shop (TRS) also have their AGMs today — a double comment on the retail sector which will reflect upon economic recovery. JBH up 31c to 1881c. TRS up 10c to 1260c.
- Consumer sentiment increased 1.7% in October compared to last month. The index increased to 121.4 points, its fifth consecutive rise in the index.
- Rio Tinto (RIO) has doubled its stake in Canada’s Ivanhoe Mines to 19.7%. It bought 46.3m Ivanhoe shares at $US8.38 a share. RIO down 10c to 6209c.
- Breville (BRG) told its shareholders yesterday to take NO ACTION is relation to G.U.D’s takeover offer and wait until the board has made a recommendation. BRG up 6c to 220c.
- Companies fresh yearly highs include: ARB Corp (ARP), Breville (BRG), Commonwealth Bank (CBA), Downer EDI (DOW), PanAust (PNA), Platinum Asset Australia (PTM), REA Group (REA) and Ten Network (TEN). MARCUS PADLEY is the author of the MARCUS TODAY Daily Stockmarket Newsletter.
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