PERTH: The Australian sharemarket is trading substantially higher at noon, as better-than-expected Chinese growth figures spark a rally on the local bourse.
At 12.05pm (AEST), the benchmark S&P/ASX200 was up 48 points, or 0.86 per cent, to 5,625.4, while the broader All Ordinaries index added 45.7 points, or 0.82 per cent, to 5,607.6.
Rivkin Securities chief executive Scott Schuberg said local markets would be paying close attention to Chinese GDP figures, released at noon (AEST), which showed the Chinese GDP grew at an annual rate of 7 per cent in the second quarter — outperforming economist’s median expectations.
The Australian dollar lifted on the back of the data, rising to the upper US74c level in the moments after the release. But the Shanghai Composite index — China’s main stock market — softened.
IG market strategist Evan Lucas said the macro picture remained in a period of continual flux.
Mr Lucas said China has stabilised its equity markets but its economy is now in focus, and the US, which is at the beginning of its earnings season, has come into focus with a renewed sense that the Federal Reserve interest rates lift-off is only eight weeks away.
“Greece appears to be at the crescendo before the final act — but it is far from over,” he said
