SYDNEY, Dec 29: Australian shares rose 1 percent on Monday in thin holiday-time trading, led by gains in mining, energy and telecommunications, while New Zealand stocks rose to record highs.
Trading volume is likely to remain thin this week, with many investors away for New Year holidays. The market will be closed on Thursday.
At 01:17 GMT, the S&P/ASX 200 index was up 55.46 points to a seven-week peak of 5,450.
Iron ore miner Fortescue Metals Group jumped 3 percent, while BHP Billiton and Rio Tinto both gained almost 2 percent even though iron ore dropped to a five-year trough last week.
The “Big Four” banks – Commonwealth Bank of Australia, Westpac Banking Corp, ANZ Banking Group and National Australia Bank – all edged up around half a percent. Workforce provider Skilled Group leapt nearly 9 percent to A$1.38 after it confirmed receiving an unsolicited proposal from Programmed Maintenance Services Ltd. The real estate sector index lost around 0.5 percent. Dexus Property Group was down 0.8 percent to A$7.54 after announcing the acquisition of Lakes Business Park for A$153.5 million.
Across the Tasman Sea, New Zealand’s benchmark NZX50 share index climbed to a record 5,622.22 in slow holiday trade. The index has gained 17 percent this year, helped by a raft of domestic initial public offerings (IPOs) and increasing foreign interest.
Infratil initially edged up to a record NZ$3.05 after the infrastructure investor said it would team up with New Zealand’s superannuation fund to buy retirement village operator RetireAustralia in a A$640 million deal. Kathmandu fell 2.3 percent to NZ$2.09 ($2), reversing slight gains in the previous session and approaching a near two-year low of NZ$2.05 touched last week. Investors resumed selling the struggling outdoorwear retailer following its warning last week that seasonal sales at its Australian shops would be weak. Further losses were offset by a 1.2 percent rise in insurance provider Tower to NZ$2.18, while board member services provider Diligent rose 1.0 percent to NZ$5.05. (AGENCIES)
Trending Now
E-Paper
Follow our WhatsApp channel