The Australian share market went from strength to strength today, closing at a new 11.5 year high, a level we last traded at back in December 2007.
From the outset, we had positive leads after Wall Street closed in record high territory and the ASX200 then bounced to 10-year high territory. However, momentum and strength built, with the Healthcare sector gaining 2.4 per cent and Tech sector rising 2.2 per cent. Most of the sectors followed higher with five other sectors gaining over 1 per cent.
While the only sector that lagged was the Materials sector, which has been very bullish of late on the back of the iron ore price rally.
The S&P/ASX200 index
At the closing bell the S&P/ASX 200 index closed 63 points higher or 0.99 per cent higher to finish at 6,382.
Dow futures are suggesting a fall of 10 points.
S&P 500 futures are eyeing a dip of 4 points.
The Nasdaq futures are eyeing a fall of 20 points.
And the ASX200 futures are eyeing a 54 point rise.
Australia’s headline inflationary rate remained steady in the first quarter, missing expectations it would slightly rise. It follows on from a lift of 0.5 per cent in the December quarter 2018.
However, over the year, the consumer price index (CPI) index grew 1.3 per cent, less than the consensus expectation of a 1.5 per cent rise. It follows the 1.8 per cent reading, over the year to the December quarter.
Bellamy’s Australia (ASX:BAL) has announced that SAMR (State Administration for Market Regulation) approved a new Bellamy’s branded formula-series to be produced at the ViPlus facility in Toora, Victoria. Bellamy’s is now awaiting final certification of all changes from State Administration for Market Regulation, which it hopes to receive shortly. Bellamy’s will invest $4-6 million (depending on performance) to transition the product and secure long-term production capacity with ViPlus, anchoring its new manufacturing partnership. Shares in Bellamy’s Australia (ASX:BAL) closed 15.6 per cent higher at $11.12
Private toll road developer and operator, Atlas Arteria (ASX:ALX) formerly known as Macquarie Atlas Roads has reported a 2.3 per cent rise in toll revenue in the first quarter of 2019, compared to the same time last year. It comes despite its total weighted average traffic volumes remaining unchanged in the quarter, when also compared to the same time last year. Year-to-date Atlas Arteria (ASX:ALX) shares are trading 14.9 per cent higher, just underperforming rival toll road operator TCL (ASX:TCL) shares which have gained 15.8 per cent year.
Vicinity Centres (ASX:VCX) has announced that its Chairman, Peter Hay, intends to retire from the Board on 14 August 2019, following its annual results being released. He has served as Chairman since Vicinity began in June 2015. He will be succeeded as Chairman by current Non-executive Director, Mr Peter Kahan.
Trade Me Group (ASX:TME) has appointed Anders Skoe as its new CEO. He is currently the CEO of Finn.no , a business similar to Trade Me. Prior to joining Finn, Anders also held positions with Google and Radiance Technologies.
Best and worst performers of the day
The best performing sector was S&P/ASX 200 Health Care adding 2.4 per cent while the worst performing sector was S&P/ASX 200 Materials, shedding 0.4 per cent.
The best performing stock in the S&P/ASX 200 was Bellamy’s Australia (ASX:BAL), rising 15.6 per cent to close at $11.12. Shares in Eclipx Group (ASX:ECX) and Wisetech Global (ASX:WTC) followed higher.
The worst performing stock in the S&P/ASX 200 was New Hope Corporation (ASX:NHC), dropping 4.5 per cent to close at $2.75. Shares in Iluka Resources Limited (ASX:ILU) and Independence Group Nl (ASX:IGO) followed lower.
Japan’s Nikkei has lost 0.3 per cent, Hong Kong’s Hang Seng has lost 0.5 per cent and the Shanghai Composite has lost 0.2 per cent.
Commodities and the dollar
Gold is trading at US$1,270 an ounce.
Iron ore price rose 0.1 per cent to US$94.53
Iron ore futures are pointing to a fall of 1.7 per cent.
Light crude is US$0.63 up at US$66.18 a barrel.
One Australian dollar is buying 70.33 US cents.