NS: Australian share market ends in positive territory
THE share market closed in positive territory for the seventh consecutive session, driven by gains in mining and energy stocks.
At the 4.15pm (AEST) close, the benchmark S&P/ASX200 index was up 17.8 points, or 0.44 per cent, at 4068.5, while the broader All Ordinaries index gained 20.6 points, or 0.51 per cent, to 4068.9 points.
CommSec market analyst Juliette Saly said investors had welcomed news that the annual inflation rate had fallen to a 10-year low
Most energy stocks appreciated on the back of a firmer oil price, Ms Saly said.
Woodside was up 51 cents at $43.85 and Santos gained 21 cents to $14.82 but Oil Search shed 8 cents to $5.50.
Mining giant BHP Billiton reported a "solid'' production performance in 2008/09, despite "significant demand contraction'' in a weak global economy.
Shares in BHP Billiton were up 71 cents at $36.90, while Rio Tinto gained 89 cents at $55.81.
"We have seen a bit of weakness come through from the banks today, with the National Australia Bank (NAB) tapping the market for cash,'' Ms Saly said.
NAB is raising $2.75 billion in new capital and earmarked the proceeds for maintaining its balance sheet, pursuing growth and improving its position in the small-to-medium sized enterprises market.
"It (the NAB raising) sent a few jitters among investors who wondered how the financial sector is holding up and whether or not other banks will have to do the same,'' Ms Saly said.
"Yesterday, Westpac's Gail Kelly said the financial sector was still facing another challenging 18 months, so Westpac shares are definitely under pressure today.''
Westpac gave up 49 cents at $19.82, Commonwealth Bank was down 65 cents at $39.10 and ANZ added 13 cents to $16.90. NAB was in a trading halt and last traded at $23.58.
Making headlines today, leading supermarket chain Woolworths reported "solid'' growth its full year sales, up 7.5 per cent in 2008/09.
Shares in Woolworths slipped 12 cents to $27.58.
Among other retailers, Coles owner Wesfarmers advanced 48 cents to $24.56, David Jones found 19 cents to $4.86, JB Hi-Fi gained 61 cents to $16.40 and Harvey Norman eased 8 cents to $3.18.
Among gold miners, Newcrest was down 57 cents at $30.39, Newmont was up 3 cents at $5.15 and Lihir Gold backtracked 5 cents to $2.86.
The spot price of gold in Sydney was $US948.70 per fine ounce, up 25 US cents on yesterday's close of $US948.45.
On the Sydney Futures Exchange at 4.17pm, the September share price index contract had inched 2 points higher at 4031 points on 20,372 contracts.
