The Australian share market has climbed to its highest closing level since July 2011 as investors took heart from stronger US markets and fresh hopes that debt-ridden Spain will ask for some sort of financial aid.
On Wednesday, the benchmark S&P/ASX200 index rose 36.7 points, or 0.82 per cent, to 4,528.2 points, while the broader All Ordinaries index lifted 37.0 points, or 0.82 per cent, to 4,550.9 points.
On the ASX 24, the December share price index futures contract was 43 points higher at 4,535 points, with 33,947 contracts traded.
CMC Markets chief markets analyst Ric Spooner said local investors were encouraged by stronger markets in the United States on Tuesday, which were boosted by good company earnings reports.
“The immediate influence was the stronger market in the US last night,” Mr Spooner said.
“It was also, I think, some confidence that Spain is possibly going to accept a line of credit (from the European Union’s new bailout mechanism).”
On the Australian market on Wednesday in the resources sector, global miner BHP Billiton was 38 cents higher at $33.45 as chief executive Marius Kloppers predicted growth in the global iron ore market would slow to 650 million tonnes this decade, down from 800 million tonnes in the last decade.
Rio Tinto was 93 cents higher at $56.05.
Among the major banks, National Australia Bank was 17 cents higher at $26.79, ANZ ascended 17 cents to $25.96, Commonwealth Bank eased 10 cents to $56.99, and Westpac put on 17 cents to $25.89.
Among other stocks, News Corp was up 27 cents at $24.54 as boss Rupert Murdoch said the media giant was well positioned for strong performance and the market liked what it was doing.
Broadcaster Ten Network Holdings was 2.5 cents, or 7.46 per cent, lower at 31 cents as its deal to sell its outdoor advertising business to private equity firm Champ collapsed.
Blood products and vaccines supplier CSL was 97 cents higher at $47.71 after it said it would undertake another $900 million share buyback and still expects its profit to grow by about 12 per cent in fiscal 2013.
Wagering and keno operator Tabcorp was four cents richer at $2.93 as it lifted its overall revenue in the first quarter of the financial year by 2.9 per cent despite a fall in revenue from wagering, which is the company’s biggest business.
Property developer Stockland dropped 13 cents, or 3.66 per cent, to $3.42 as it said earnings would fall by at least 10 per cent in the 2012/13 financial year because of the severely weakened housing market.
The price of gold in Sydney was $US1,751.95 per fine ounce, up $US13.53 on Tuesday’s closing price of $US1,738.42.
National turnover was 1.8 billion securities worth $4.26 billion, with 588 stocks up, 364 down and 383 unchanged.
