The Australian share market has closed almost flat, with a healthy quarterly earnings report from the Commonwealth Bank the highlight.
Overseas markets had not provided the Australian bourse with any strong leads on Wednesday, so the market’s performance was “line ball”, Lonsec senior client adviser Michael Heffernan said.
“We managed to do okay. The fact that we’re `line ball’ is not a bad result,” he said.
“The star of the day was the Commonwealth Bank. Their trading result today was a real stunner.”
CBA shares jumped 96 cents, or 1.25 per cent, to another record closing price of $77.96 after its cash earnings in the first quarter of the financial year rose to $2.1 billion.
Among the other major banks, National Australia Bank added nine cents to $35.89, ANZ firmed one cent to $33.80, and Westpac picked up four cents to $34.39.
Elsewhere in the financial services sector, insurer AMP dipped five cents to $4.66 after issuing new securities to raise $200 million from investors – only weeks after flagging a profit downgrade because of its troubled income protection products.
In the resources sector, global miner BHP Billiton was up 24 cents at $38.09, Rio Tinto was 90 cents richer at $65.60, and Fortescue strengthened 31 cents at $5.84.
Those gains were offset by falls in the property, energy and retail sectors.
Mr Heffernan said the market could have stronger direction on Thursday after unemployment figures are released.
Among other stocks on Wednesday, construction company Leighton fell 37 cents to $17.26 despite its Middle East business winning a $US160 million ($A168.96 million) contract for work on the expansion of the Abu Dhabi international airport.
Engineering and maintenance firm Downer EDI lost nine cents to $5.19 as it said it will take some time for its rail business to adjust to the slowdown in the mining sector, but reaffirmed the group’s previous profit guidance.
KEY FACTS
* On Wednesday, the benchmark S&P/ASX200 index was up 1.8 points, or 0.03 per cent, at 5,433.8 points.
* The broader All Ordinaries index was up 0.3 points, or 0.01 per cent, at 5,426.0 points.
* The December share price index futures contract was one point higher at 5,418 points, with 20,529 contracts traded.
* National turnover was 1.6 billion securities worth $4.19 billion.
* The price of gold in Sydney was $US1,313.30 per fine ounce, down $US2.30 on Tuesday’s closing price of $US1,315.60.
