Thursday, June 15, 2006

It's a struggle but shares are going up

The sharemarket continued to claw back territory yesterday, after a week of heavy losses.
The market was supported by resources and energy stocks following gains in base metal and oil prices overnight, despite weakness in the banking sector amid fears of further interest rate rises in the US.
The ASX 200 rose 18.9 points to 4869.7 while the All Ordinaries rose 20.5 to 4835.5.
The gains followed a rise on Wall Street on Wednesday, with the Dow Jones index rising 110.78 points to 10,816.92 despite a report showing higher than expected inflation in May.
Macquarie Equities associate director Lucinda Chan said the local bourse was stronger across the board amid bargain hunting after the recent sharp falls.
However, resources and energy stocks had led the rally, she added.
"Oil prices being firmer has certainly helped the oil sector and gold is trading a little bit better which has helped gold stocks, especially Newcrest and Newmont," she said.
BHP Billiton firmed 38c to $26 while Rio Tinto rose 22c to $73.37. Woodside Petroleum was up 5c to $40.83.
Mining services provider Ausenco ended its first day of trading at a hefty premium to its $1 issue price, closing at $1.55.
DWS Advanced Business Solutions made a low-key debut. The information technology consultancy's shares opened at $1.02, a small premium to the $1 issue price, and closed at $1.01.
The big banks were generally lower. ANZ and the Commonwealth eased 30c to $25.25 and $42 respectively, Westpac fell 15c to $21.75 but NAB added 5c to $33.95.
IAG, down 6c to $5.38, has acquired a newly formed Lloyd's managing agency and specialist Asian syndicate to support its expanding business in Asia.
Foster's rose 2c to $5.51. The alcoholic beverages group has sold its Shanghai brewing business and local Chinese beer brands to Suntory for an undisclosed amount.
Telstra edged up 2c to $3.73 while Optus owner Singapore Telecom rose 1c to $2.05.
Qantas advanced 9c to $3.27 while budget airline Virgin Blue rose 3c to $1.61.
Retailer Coles Myer found 14c to hit $11.51 but Woolworths shed 10c to $18.58.
Clothing manufacturer Colorado rose 1c to $3.31. Group chief operating officer and acting chief executive Eddie MacDonald has resigned, effective September 15.
Among the goldminers, Newcrest jumped almost 6 per cent, or $1.05, to $19.25 and Newmont shot up 4 per cent, or 27c, to $6.70. Lihir was up 12c at $2.67 and Bendigo up 3c to $1.75.
The most traded stock was oil and gas explorer Lion Energy with 65.48 million shares worth $327,634 changing hands. The stock moved up 0.1c to 0.6c.

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