The market is up 26. The SFE Futures were up 55 this morning.
The Dow Jones closed up 180 overnight after falling 247 in the prior session. A news report said France and Germany will increase the euro zone’s rescue fund to €2 trillion as part of a plan to resolve the sovereign debt crisis. Moody’s has cut Spain’s rating from A1 from Aa2, with a negative outlook and they say France’s AAA rating could be put on negative outlook. Slower than expected Chinese GDP growth dragged the Dow down 101 points early on and iron ore stocks got belted in our market yesterday and are still lagging today. The gold price down $19.10 to $1657.50. The oil price up $2 to $88.37. The Aussie dollar was up at 102.63¢ from 101.58¢.
Main points:
- BHP Billiton (BHP) iron ore and petroleum production was up in the first quarter. Petroleum production was up 19% on the quarter and on the year, iron ore output was up 11% on the quarter and 24% on the year. But copper production fell 19% on the quarter and 24% on the year after strikes at the Escondida mine in Chile and lower ore grades, as well as planned maintenance at the Chile operation and planned outages at the Olympic Dam mine. BHP up 20¢ to 3660¢.
- Webjet (WEB) says its pre-tax first quarter profit is up 23% to $4.65 million on the same period last year. The company confirmed guidance of 10% growth in full year profit. MD John Guscic said “Despite general consumer retail caution, the overall travel industry is currently displaying evidence of modest growth, albeit driven by special market stimulatory offers”. WEB up 2.7% to 226¢.
- OZ Minerals (OZL) has reported that quarterly production fell 3%, while production costs jumped 28%. But they say their Prominent Hill mine remains on track to hit full year guidance. Gold output fell by 18% and silver output rose 10%. OZL up 1.3% to 1151¢.
- CSL Ltd (CSL) has had their AGM and says that they are trading as expected at the end of the first quarter and they confirmed guidance of 10% net profit growth in FY 2012. They announced that they will buy back up to $900m in shares. CSL up 26¢ to 3047¢.
- Rio Tinto (RIO) has committed an additional $1.2 billion to the development of the huge Simandou iron ore field project in Guinea. Rio said, “This funding will allow the project to move forward towards first shipment of ore by mid-2015”. Rio down 48¢ to 6577¢.
- Lend Lease (LLC) has launched a wholesale investment vehicle, the Lend Lease Real Estate Partners New Zealand Fund, which will take ownership of four New Zealand shopping centres. LLC up 2.2%.
For a free 5 day obligation FREE TRIAL of the MARCUS TODAY newsletter Click Here. You will receive our renowned and popular Daily email about the stockmarket with all the stuff you need to know ahead of the trading day including:
- Overnight developments, news, comments, rumours, broker recommendations and ideas from Marcus and his Team.
- Our Recommended Portfolio which is actively managed on behalf of subscribers … no “set & forget”. Everything you need to effortlessly managed your own long term investment portfolio. It includes Income Portfolio recommendations.
- Daily Technical Trading ideas and data, including daily scans of the ASX 300 for stocks changing trend.
- Stock Database — all the numbers with comments on the top 300 stocks and more.
- Educational section — Marcus’s Educational and Entertaining articles.
We also offer a FREE END OF DAY EMAIL — Click here — A free summary of the day in the market.
Subscribe to MARCUS TODAY — Click Here. We are sure you will enjoy and profit from what we offer…we have one of the highest re-subscription rates in the financial newsletter industry.
Crikey is committed to hosting lively discussions. Help us keep the conversation useful, interesting and welcoming. We aim to publish comments quickly in the interest of promoting robust conversation, but we’re a small team and we deploy filters to protect against legal risk. Occasionally your comment may be held up while we review, but we’re working as fast as we can to keep the conversation rolling.
The Crikey comment section is members-only content. Please subscribe to leave a comment.
The Crikey comment section is members-only content. Please login to leave a comment.