The market is finishing off the week strongly — up 52 — The SFE Futures suggested a 32 point rise in the market this morning.
The Dow Jones closed up 172 overnight. Dow up 191 at best and down 40 at worst. There was a big bounce in bonds as they get through a record week for bond issuance with good demand. Gold up $5, Oil price up 2.3% and the Aussie dollar was also up.
Making the news today…
- Caltex Australia (CTX) has announced its 2009 half year earnings outlook. 1H profit (including stockpile value) is expected to rise to between $335m-$365m, in line with previous guidance of $354m. Warn of a weak 2H and mentioned that it would take “a conservative position” on its interim dividend.”
- Macquarie Leisure Trust (MLE) is out of a trading halt after completing its institutional placement. It raised $41.7m at 115c a share and said there was strong demand.
- Trading Halt – ROC Oil announces equity capital raising – It will allow eligible shareholders to subscribe for up to $15,000 of new shares (88m shares). ROC last traded at 90c. Funds will be used to strengthen the balance sheet and cut debt.
- Boral’s (BLD) CEO Rod Pearse has resigned after 10 years.
- Qantas(QAN) announces it has delayed the delivery of 15 Boeing 787-8 aircrafts by 4 years and cancelled orders for 15 787-9 aircraft that were due to be delivered in 2014-15.
- Challenger Infrastructure Fund (CIF) has paid back its $15.7m temporary loan to Southern Water.
- Downer EDI (DOW) announces an $NZ1bn Telco contract.
- The CEO of Emeco Holdings (EHL), Alec Brennan, has stepped down.
- Trading halt lifted – Eircom Holdings (ERC) has received a non-binding “unacceptable” takeover proposal from a Singapore Technologies led consortium but is willing to sit down with the group to discuss options.
In other news…
- RBS Equities maintain their Buy recommendation on Telstra (TLS) and upped its target price to 422c from 412c saying the FY09 result, FY10 outlook and the proposed legislation expected by September may be potential catalysts.
- GSJB Were prefers ANZ Bank and the NAB to WBC and CBA because according to its figures, the two trade at a 30% discount to the average Price/Book value of CBA and WBC.
- Citi are positive on Copper saying the industry faces supply side challengers. Expect prices to average $1.61/lb, 2010 at $165.
The Dow Futures suggest a 26 point fall on Wall Street tonight.
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