Hostile bid pushes NCM higher
October 9th, 2009 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 9786.87 | 61.29 | 0.6% |
| NASDAQ | 2123.93 | 13.6 | 0.6% |
| S P 500 | 1065.48 | 7.9 | 0.7% |
| FTSE 100 | 5154.64 | 45.74 | 0.9% |
| Nikkei 225 | 9832.47 | 32.87 | 0.3% |
| ASX 200 | 4,769 | 72.9 | 1.6% |
| COMEX Gold - Dec 09 | 1056.3 | 11.9 | 1.1% |
| COMEX Silver - Sep 09 | 17.815 | 0.315 | 1.8% |
| COMEX Copper - Sep 09 | 289.85 | 11.9 | 4.3% |
| WTI Spot | 71.55 | 0.45 | 0.6% |
| AUD-USD | 0.906 | 0.0147 | 1.6% |
| Aluminium | 1857.5 | 62 | 3.5% |
| Copper | 6241.5 | 181 | 3.0% |
| Lead | 2221 | 79 | 3.7% |
| Nickel | 19175 | 1040 | 5.7% |
| Tin | 15305 | 255 | 1.7% |
| Zinc | 1978 | 75.5 | 4.0% |
Australian stocks may get a boost today after a strong start to the U.S. company earnings season boosted sentiment over a recovery. Resources stocks are set to gain on higher gold, metals and oil prices. The Dow Jones closed up 61.29 points, or 0.63 percent to 9786.87.
The Australian dollar rose to a fresh 14-month high of US90.90 cents and the Euro ended up on the day but was off its session highs as it tracked US equities.
Gold continues to shine
Gold's performance in the Euro, British Pound and other currencies has been lackluster compared to its rise in U.S. dollars, a trend suggesting investors are more interested in bullion as a hedge against the greenback than global inflation. Gold, which hit new record highs this week, has advanced about 4% off its February highs and rallied 18% in U.S. dollars this year. The December contract closed at $1,044.40 an ounce Wednesday.
Company News
Newcrest Mining (NCM) shares closed flat yesterday at $35.16. The Australian Financial Review reports Newmont Mining might be preparing a hostile bid for Newcrest Mining. The newspaper says the highly speculated gold merger has been talked about as a “dream deal” for years. The combination of the two would create an unrivaled player in gold and copper. Newcrest Mining’s 2009 profit was $248 million.
Fairfax Media (FXJ) shares closed higher yesterday, up 6.65% to $1.68. There are reports of an imminent truce to end the infighting at Fairfax Media over who will take over at the helm of the media company. Roger Corbett is reportedly now set to be elected as the next Chairman at a board meeting next week following talks with major shareholder Marinya Media in Sydney yesterday. Marinya had previously stated that it wouldn’t support the re-election of chairman Ron Walker, while Mr Corbett was among the independent directors to back Mr Walker. Fairfax Media posted a $380 million loss in 2009.
Quote of the Day
Why not invest your assets in the companies you really like? As Mae West said, "Too much of a good thing can be wonderful".
Warren Buffett
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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