Afternoon (PM) Market Report

Details

Published on Tuesday, 30 August 2016 07:00

Local stocks opened higher this morning, following a positive lead from the US market overnight.

Tuesday, 30th August 2016

The ASX index traded well above the flat-line for the most part of the day, but retreated from its intraday highs in late afternoon trade as Surfstitch and Slater & Gordon pared some gains among healthcare stocks and major lenders. There were mixed results from the sectors; health care was the biggest winner for this session while consumer staples posted the largest losses. The Australian dollar depreciated against most major currencies, with the exception of the Japanese yen.

The All Ordinaries rose 12.00 points (0.22%) to 5,573.50 while the S&P/ASX 200 gained 9.10 points (0.17%) to 5,478.30.

BHP Billiton announced that on 30 August 2016 a Panel of four geotechnical specialists published its findings into the immediate causes of the failure of the Fundao tailings dam at the iron ore operations of Samarco Mineracao S.A (Samarco) in Minas Gerais, Brazil, on 5 November 2015. Vale S.A., BHP Billiton Brasil LTDA (BHP Billiton Brasil) and Samarco jointly commissioned Cleary Gottlieb Steen & Hamilton LLP (Cleary Gottlieb) to investigate the immediate cause of the failure. To assist with the investigation, Cleary Gottlieb retained the Panel to advise on the technical aspects of the failure and to conduct testing and analysis. BHP added 18 cents (0.86%) to $21.11. CSL announced that the US Food and Drug Administration (FDA) has accepted for review the Company's Behring's Biologics License Application (BLA) for its low-volume subcutaneous (SC) C1-Esterase Inhibitor (C1-INH) Human replacement therapy, CSL830, as prophylaxis to prevent Hereditary Angioedema (HAE) attacks. HAE is a rare genetic disorder caused by a deficiency of C1-INH, one of the proteins that work with the body's immune system to control inflammation. Symptoms of HAE include episodes of swelling in the face, abdomen, larynx and extremities and can be fatal if untreated. CSL lifted $1.47 (1.35%) to $110.14. Ramsay Health Care announced a Core Net Profit After Tax of $481.4m for the year ended 30 June 2016, a 16.8% increase on the pcp. Core NPAT delivered Core EPS of 231.4c for the year, an increase of 17.7% on the 196.6c recorded in the pcp. The Company's statutory reported net profit after tax (after net non-core items) of $450.3m was up 16.8% on the prior year. Directors announced a fully-franked final dividend of 72.0c, up 19.0% on the pcp, taking the full year dividend to 119.0c fully-franked, up 17.8% on the prior year. During the year, the Company's Australian and Asian business achieved revenue growth of 8.8% and EBIT growth of 11.6% on the back of solid volume growth, brownfield developments and ongoing efficiencies. RHC added $5.86 (7.76%) to $81.42.

The NZX climbed 20.69 points (0.28%) to 7,387.95 while the Nikkei fell 12.13 points (-0.07%) to close at 16,725.36.

The Australian dollar was last quoted at 75.51 US cents.