The Australian share market rose as the majority of sectors posted gains, though Domino’s Pizza plunged after failing to meet its profit forecasts.
The benchmark S&P/ASX200 index gained 27.1 points, or 0.47 per cent, to 5,757.5 points, following the trend of most global markets amid an apparent calming of tensions between the United States and North Korea.
Citi Global Markets director of equities sales Karen Jorritsma said concerns about a conflict were not a defining factor for Australian investors.
“I don’t think it’s a particularly topical driver of the market, but it is still in the back of everyone’s mind,” she said.
The major banks helped lift the market, after ANZ’s third quarter cash profit rose to $1.8 billion.
“ANZ has reported positive third quarter data, a benign credit cycle, above-system growth in residential mortgage lending and with all capital benefits in place, all of the major banks are definitely looking good,” Ms Jorritsma said.
ANZ shares gained 38 cents, or 1.3 per cent, to $29.81, Westpac rose by 0.7 per cent to $32.19, National Australia Bank added 0.6 per cent to $30.89 and Commonwealth Bank slipped 0.1 per cent to $81.25.
Telstra was another strong performer, gaining 1.7 per cent to $4.24.
Domino’s shares fell sharply after the pizza giant’s annual profit and sales growth came in below the company’s forecasts, and its outlook for the year ahead also disappointed investors.
It dropped $9.25, or 18 per cent, to an 11 month low of $41.50.
A fall in oil prices dented the energy sector, and Santos flagged an impairment charge of $US690 million to be included in its half year earnings.
Santos dropped 2.1 per cent to $3.28, Origin Energy shed 1.4 per cent to $6.85, Oil Search fell 1.1 per cent to $6.40 and Woodside Petroleum was 0.3 per cent lower at $29.14.
BHP Billiton dropped 0.2 per cent to $25.61, Rio Tinto shed one per cent to $62.82 and Fortescue Metals was 1.8 per cent weaker at $5.46.
The Australian dollar fell slightly as the US dollar rose on the easing of political tensions.
ON THE ASX:
* The benchmark S&P/ASX200 was up 27.1 points, or 0.47 per cent, at 5,757.5 points.
* The the broader All Ordinaries index was up 25.4 points, or 0.44 per cent, at 5,804 points.
* The September SPI200 futures contract was up 31 points, or 0.55 per cent, at 5,704 points.
* National turnover was 2.4 billion securities traded worth $5.2 billion.
CURRENCY SNAPSHOT AT 1700 AEST:
One Australian dollar buys:
* 78.47 US cents, from 78.69 US cents on Monday
* 86.57 Japanese yen, from 86.47 yen
* 66.82 euro cents, from 66.72 euro cents
* 60.55 British pence, from 60.67 pence
* 107.59 NZ cents, from 107.89 NZ cents
GOLD:
The spot price of gold in Sydney at 1700 AEST was $US1,275.49 per fine ounce, down from $US1,287.34 per fine ounce on Monday.
BOND SNAPSHOT AT 1630 AEST:
* CGS 4.50 per cent April 2020, 1.8727pct, from 1.8528pct
* CGS 4.75pct April 2027, 2.5957pct, from 2.5662pct
Sydney Futures Exchange prices:
* September 2017 10-year bond futures contract at 97.355 (implying a yield of 2.645pct), from 97.385 (2.615pct) on Monday.
* September 2017 3-year bond futures contract at 98.03 (1.97pct), from 98.06 (1.94pct).
(*Bond market closes taken at 1630 AEST previous local session. Currency closes taken at 1700 AEST)
