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Share market firms as $A fall helps miners

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The share market is firmer as a weakening Australian dollar and an uptick in oil prices helped the energy stocks and mining giant BHP Billiton.

The local currency dropped to 77.26 US cents overnight, sinking closer to levels last seen in July 2009.

This helped BHP, giving the broader market a boost as it entered its eighth day of gains, Morgans senior client adviser Bill Chatterton said.

“BHP’s commodities that it digs out of the ground are all nominated in US dollars and the Aussie dollar is weakening quite aggressively to the US dollar,” he said.

A rebound in crude oil prices from six-year lows also helped the energy sector while a rally in gold prices saw gold stocks outperform the rest of the market.

Diversified mining giant BHP Billiton jumped 55 cents, or 1.9 per cent, to $29.81, Rio Tinto gained six cents to $57.62 but iron ore pure play Fortescue Metals was three cents lower at $2.33.

Energy stocks were strong performers, with explorer Oil Search up 21.5 cents, or 2.8 per cent, to $7.985, Woodside rising 39 cents to $34.67 and Santos up 15 cents to $8.03.

Australia’s biggest listed gold miner Newcrest was up 33.5 cents, or 2.5 per cent, to $13.895.

The banks were mixed. Commonwealth rose 31 cents to $89.64, National Australia Bank had dropped seven cents to $35.56, ANZ added 21 cents to $33.21 and Westpac was 19 cents higher at $34.65.

JB Hi-Fi shares rose 16.5 cents to $16.915, after the home and electronic goods retailer announced a small slide in first half profit but reaffirmed its full-year sales forecast of $3.6 billion.

Outdoor clothing retailer Kathmandu lost 47 cents, or more than 25 per cent, to $1.40 after flagging a first half loss following weaker-than-expected sales.

KEY FACTS

* At 1200 AEDT on Monday, the benchmark S&P/ASX200 index was up 33.2 points, or 0.59 per cent, at 5,621.5.

* The broader All Ordinaries index was up 31.4 points, or 0.57 per cent, at 5,583.

* The March share price index futures contract was 28 points higher at 5,570, with 13,926 contracts traded.

* National turnover was $572.9 million securities worth $1.2 billion.