##{"id":61042,"date":"2012-12-10T16:43:58","date_gmt":"2012-12-10T05:43:58","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2012\/12\/10\/australian-stocks-what-happened-today-11\/"},"modified":"2012-12-10T16:43:58","modified_gmt":"2012-12-10T05:43:58","slug":"australian-stocks-what-happened-today-11","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2012\/12\/10\/australian-stocks-what-happened-today-11\/","title":{"rendered":"Australian Stocks: What Happened Today?"},"content":{"rendered":"

\n\tBy Max Ludowici<\/span>, Equities & Derivatives Advisor, 708 Capital<\/p>\n

\n\tThe scoreboard:<\/p>\n

\n\t– The ASX200<\/span> made small gains up 6 points or 0.13% to 4557<\/p>\n

\n\t– The AUD drifted lower over day after climbing on Friday’s trade.. Currently reading 1.0475 vs the USD<\/p>\n

\n\t– Total volume for the day was light at $3.1B. This was well below the $4B<\/span>+ we were seeing for most of last week though largely in-line for a Monday session.<\/p>\n

\n\tShares on the ASX<\/span> took a slight pause to close marginally higher after strong gains on Friday thanks to offshore portfolio buying. The market hit a seven-week high intraday as positive US jobs data on Friday kept sentiment elevated. The XJO<\/span> has risen 5.4% since mid-November but will run into stiff headwinds<\/span> at the key 4550 resistance level.<\/p>\n

\n\tThe Monday Report detailed the US employment news on Friday night, which appeared to largely be priced into offshore markets in overnight trade. The biggest driver of stocks appears to be the strength in China following their mid-year slowdown which has helped spark rebounds in the big miners. Weekend data showed China’s industrial output rose 10.1% y\/y in November, above October’s 9.6% rise and the strongest move since March. An anomaly in the positive Chinese data of late slowed our market intraday where Chinese exports only rose 2.9% vs expectation of a 9% rise.<\/p>\n

\n\tRIO Tinto ((RIO)) is up 25% since it’s one year low in September. RIO had another strong day, closing up 1.9% to $61.30.<\/p>\n

\n\tPositive data flowing from China has pushed Spot Iron Ore prices back through $120\/t as optimism over demand grows. This comes as more good news for Fortescue<\/span> Metals ((FMG<\/span>)) who announced they will sell 25% of a joint venture back to BC Iron ((BCI<\/span>)) for $190m<\/span>. The transaction means BCI<\/span> will increase its interest in the project from 50% to 75% and fund the deal using debt and existing cash. FMG<\/span> closed up 6.8% to $4.05.<\/p>\n

\n\tThe high-yield plays also performed well, Westpac ((WBC)) and National Bank ((NAB)) the standout performers closing up 0.6% and 0.3% respectively.<\/p>\n

\n\tJapan’s GDP growth figures showed the economy contracted 0.9% in the July-September quarter or 3.5% on an annualised<\/span> basis. Not a good news piece for the start of the Japanese election week where opposition leader Shinzo<\/span> Abe is widely expected to defeat current Prime Minister Yoshihiko<\/span> Noda<\/span>. This could prove to be the kickstart<\/span> Japan desperately needs as Abe has vowed to ramp up public expenditure and pressure the BoJ<\/span> into aggressive monetary policy easing measures.<\/p>\n

\n\tDOW futures are pointing to a flat opening, currently up 2 points
\n\t <\/p>\n

\n\t(For a more comprehensive summary of last night’s market action see FNArena’s<\/span><\/a> Overnight Report.)
\n\t <\/p>\n

\n\tThis article produced at the request of and is published by FNArena<\/span> with the expressed permission of 708 Capital.<\/em><\/em><\/p>\n

\n\t708 Capital is a full service stockbroking<\/span> and investment advisory firm. 708 offers investment and market advice to high-net-worth Private and Institutional clients in Australia and across the globe. 708's extensive network of contacts gives its clients exclusive access to ground-level fundraising opportunities and new company listings in a variety of small and large cap ASX<\/span> listed companies. 708 has a longstanding track record of generating exceptional returns for its clients. Click here 708capital.com.au\/contact-us\/<\/a> <\/a>for a no costconsultation<\/span> and portfolioreview<\/span> or to learn more visit www.708capital.com.au<\/a>. Note: 708 Capital offers wealth management services for Sophisticated and Wholesale Investors only. We can only assist investors who are classified as Sophisticated Investors or have verified assets over AUD$2.5m.<\/em><\/em><\/p>\n

\n\t708capital<\/span> is a holder of AFSL<\/span>. No. 386279<\/em><\/p>\n

\n\t $\"\"$ <\/em><\/p>\n

\n\tIMPORTANT DISCLAIMER – THIS MAY AFFECT YOUR LEGAL RIGHTS:<\/em><\/p>\n

\n\tThis document is intended to provide general securities advice only, and has been prepared without taking account of your objectives, financial situation or needs and therefore before acting on advice contained in this document you should consider its appropriateness having regard to your objectives, financial situation and needs. We recommend you obtain financial, legal and taxation advice before making any financial investment decision.<\/em><\/p>\n

\n\tDisclosure of Interests: 708capital<\/span> receives commission from dealing in securities and its authorised<\/span> representatives, or introducers of business, may directly share in this commission. 708capital<\/span> and its associates may hold shares in the companies recommended.<\/em><\/p>\n

\n\tFind out why FNArena<\/span> subscribers like the service so much: "Your Feedback (Thank You)<\/a>" – Warning this story contains unashamedly positive feedback on the service provided.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"