The Australian share market has closed higher with most sectors in positive territory ahead of the release of key US employment data.
The benchmark S&P/ASX200 index 0.60 per cent, at 5,775.6 points with banks, retail, health care and utility companies posting strong gains.
Market analyst Ben Le Brun from optionsXpress said the market has performed well despite having a number of major companies going ex-dividend on Friday.
“There has been an outperformance on the Australian share market all week despite many stocks going ex-dividend,” he said.
“US futures are higher which is why we are doing well.
“However, tonight is a potential game changer if US non-farm payrolls were to really miss expectations.”
He said the market was expecting Friday night’s jobs report to be strong and to show that about 200,000 jobs were created in the US last month.
If the numbers are close to expectations, he said it will secure a widely anticipated rate hike at next week’s US central bank meeting.
On the local market, gains from the consumer staple sector were led by Woolworths – up 1.3 per cent to $26.42, and Wesfarmers – up 1.7 per cent to $44.41- while winemaker Treasury Wine Estates lifted 47 cents, or 3.88 per cent, to $12.59 in a positive response to its investor day.
In the healthcare sector, biotechnology giant CSL jumped $3.25, or 2.65 per cent, to $125.91.
All the big four banks closed higher with gains ranging from 0.26 per cent to 1.16 per cent.
The mining sector finished lower, weighed down by mining giants BHP Billiton and Rio Tinto which fell 1.2 per cent to $23.67 and 1.95 per cent to $58.97, respectively.
Shares in junior oil explorer Central Petroleum jumped more than 21 per cent to 20 cents after its board approved a revised takeover offer from Macquarie Group at that price.
The Australian dollar is marginally higher at 75.19 US cents, up from 75.08 on Thursday ahead of the jobs data.
The local unit had fallen to its lowest level in almost two months on Thursday as the US dollar rallied on rate hike expectations.
ON THE ASX:
* The benchmark S&P/ASX200 was up 34.4 points, or 0.60 per cent, at 5,775.6 points.
* The broader All Ordinaries index was up 30.7 points, or 0.53 per cent, at 5,811.2 points.
* The March SPI200 futures contract was up 24 points, or 0.42 per cent, at 5,775 points.
* National turnover was 3.3 billion securities traded, worth $6.7 billion.
GOLD:
The spot price of gold in Sydney at 1700 AEDT was $US1,198 per fine ounce, down $US7.45 from $US1,205.45 on Thursday.
CURRENCY SNAPSHOT AT 1700 AEDT:
One Australian dollar buys:
* 75.19 US cents, from 75.08 on Thursday
* 86.76 Japanese yen, from 85.99 yen
* 70.95 euro cents, from 71.28 cents
* 61.85 British pence, from 61.75 pence
* 108.82 New Zealand cents, from 108.91 NZ cents
BOND SNAPSHOT AT 1630 AEDT:
* CGS 5.25 per cent March 2019, 1.916pct, from 1.905pct
* CGS 4.25pct April 2026, 2.931pct, from 2.880pct
Sydney Futures Exchange prices:
* March 2017 10-year bond futures contract at 96.993 (implying a yield of 3.007pct), from 97.037 (2.963pct) on Thursday
* March 2017 3-year bond futures contract at 97.820 (2.180pct), from 97.845 (2.155pct).
(*Currency closes taken at 1700 AEDT previous local session, bond market closes taken at 1630 AEDT previous local session)
