The Australian share market has closed higher on the back of positive corporate news and jobs figures, and hopes for a resolution to Europe’s debt crisis.
At 1615 AEST on Thursday, the benchmark S&P/ASX200 index had risen 34.1 points, or 0.8 per cent, to 4,312.9 points, while the broader All Ordinaries index had lifted 33.9 points, or 0.79 per cent, to 4,331.6 points.
On the ASX 24, the September share price index futures contract was up 32 points at 4,314 points, with 27,438 contracts traded, according to preliminary calculations.
OptionsXpress market analyst Ben Le Brun said the Australian market had outperformed its Asian counterparts on Thursday, driven upwards by a range of positive factors.
“We’ve had plenty of corporate news and it’s all been positive for Billabong, Qantas and Lynas,” Mr Le Brun said.
“Added to the mix was some positive economic data on the local front, in terms of the jobs number.
“And, there are still expectations that we’ll get some clarity on a plan (to help resolve the euro zone debt problem) from the ECB (European Central Bank) tonight.”
Data released on Thursday showed that Australia’s jobless rate unexpectedly dropped to a three-month low of 5.1 per cent in August.
Economists had expected the unemployment rate to rise to 5.3 per cent.
Also, Spanish and Italian bonds rallied sharply ahead of the ECB’s policy meeting on Thursday night (Australian time), fuelled by renewed expectations the ECB will unveil a plan for large-scale bond-buying.
On the local market on Thursday, national airline Qantas ascended 7.5 cents, or 6.67 per cent, to $1.20 after it announced a deal with Emirates that leaves London as its sole European destination.
Billabong shares rose 9.5 cents, or 7.5 per cent, to $1.365 as the struggling surfwear retailer received its second takeover offer in six weeks, sparking a bidding war between two private-equity firms.
Lynas Corporation skyrocketed 24.5 cents, or 41.18 per cent, to 84 cents after the rare earths miner was granted a temporary licence for its controversial $US800 million ($A785.58 million) rare earths refinery in Malaysia.
Elsewhere in the resources sector, global miner BHP Billiton was 29 cents stronger at $31.34 and Rio Tinto advanced 82 cents to $50.16.
Fortescue Metals Group, suffering continued investor concerns over its about-face on expansion plans and the falling iron ore price, was 15 cents, or 4.81 per cent, lower at $2.97.
Among other stocks, Australian-listed automatic teller machine (ATM) supplier GRG International surged two cents, or 36.36 per cent, to 7.5 cents after it said it would acquire US-based ATM maker Triton for about $US25 million ($A24.62 million).
Preliminary national turnover was 1.87 billion securities worth $4.78 billion, with 519 stocks up, 403 down and 343 unchanged.
