The Australian share market has breifly broken through the 5,000 point mark as a better than expected profit by Commonwealth Bank boosts sentiment.
At 1030 AEDT on Wednesday, the benchmark S&P/ASX200 index was up 39.8 points, or 0.8 per cent, at 4,998.8 points, while the broader All Ordinaries index was up 36.9 points, or 0.74 per cent, to 5,018.4 points.
The ASX200 index then briefly rose above 5,000 points.
It last closed above 5,000 points at the beginning of September, 2008.
The All Ordinaries managed to breach the 5,000 point mark briefly on Tuesday, but has not closed above that mark since since April 2011.
On the ASX 24, the March share price index futures contract was up 32 points at 4,958 points, with 8,838 contracts traded.
CBA on Wednesday posted a record cash profit of $3.78 billion for the six months to the end of December, and increased its dividend to shareholders by 20 per cent.
That caused a strong rise among shares in all the major banks, after several months of steady gains.
“That result from CBA was what was needed really to push those banks further on,” Burrell Stockbroking advisor Jamie Elgar said.
“An in-line result would have caused a bit of profit taking, but they came out and smashed the estimates, and I wouldn’t be surprised if that pushes the banks further now.”
CBA was up $1.50, or 2.3 per cent, to a record high of $67.02.
Westpac was up 59 cents at $28.34, ANZ had added 46 cents to $28.02 and NAB was 58 cents higher at $29.51.
If investors begin to buy into resources stocks, the ASX200 index could break the 5,000 point barrier again on Wednesday, Mr Elgar said.
“There could be enough in it today, particularly if the likes of BHP and Rio start to go up,” he said.
“They’ve kind of lagged the banks over the last couple of months, so that’s probably where the next push will come from.”
BHP was up 13 cents at $37.72 and Rio was up 29 cents at $69.32.
Among other companies to report financial results on Wednesday, Leighton returned to profitability with a $450.1 million net profit in calendar 2012.
Its shares were up 87 cents, or 4.2 per cent, at $21.68.
National turnover was 273.6 million securities worth $693 million.
