PERTH: The Australian sharemarket has pared some of yesterday’s losses, with rises in bank and healthcare stocks more than offsetting declines in the materials space.
At the 4.15pm (AEDT) official market close, the benchmark S&P/ASX200 index was up 17 points, or 0.33 per cent, at 5210.7, while the broader All Ordinaries index gained 14.5 points, or 0.28 per cent, to 5259.7.
IG market analyst Angus Nicholson said the banks were the main driver behind the lift, helping boost the ASX above the 5200 level, while healthcare stocks were also standout performers.
“Sector bellwether CSL touched $100 for the first time since August 6, seemingly signalling a full recovery for the healthcare sector after the August-September selloff,” he said.
In economic news, the Australian Bureau of Statistics reported a 9.2 per cent fall in private capital expenditure in the September quarter but the market was not perturbed, taking heart from the 4 per cent improvement in capex plans from the previous quarter.
In equities news, BHP Billiton fell sharply as it denied dam sludge from its burst Brazilian mine was toxic, while comments from former chairman Don Argus that the miner’s progressive dividend policy “was not meant to be written in stone” also weighed on the stock.
Elsewhere, Woolworths was also sold-off strongly after shareholders at its annual general meeting were informed the company had an open mind on whether to sell its struggling Masters business.
The benchmark had opened stronger to defy soggy leads from overseas, which included a 1.4 per cent slide in copper, no improvement on iron ore’s 10-year low and a largely flat result from Wall Street.
Financial stocks were 0.74 per cent stronger on the whole as the big four banks improved.
Commonwealth Bank rose 1.54 per cent to $80.22 while ANZ lifted 0.44 per cent to $27.56. Westpac improved 1.23 per cent to $32.09 while National Australia Bank gained 0.41 per cent to $29.69. Bank of Queensland was down 2.52 per cent to $13.90 after it warned of a slowing of growth in its non-interest income stream.
