Miners broaden horizons
August 31st, 2010 by Bryden Elssmann
Closing Data
| Current | Change | % | |
|---|---|---|---|
| Dow Jones | 10,009.73 | -140.92 | -1.4% |
| NASDAQ | 2,119.97 | -33.66 | -1.6% |
| S P 500 | 1,048.92 | -15.67 | -1.5% |
| FTSE 100 | 5,201.56 | 0 | 0.0% |
| Nikkei 225 | 9,149.26 | 158.2 | 1.8% |
| ASX 200 | 4,452.70 | 82.6 | 1.9% |
| COMEX Gold - Dec 09 | 1239.2 | 1.3 | 0.1% |
| COMEX Silver - Sep 09 | 19.074 | 0 | 0.0% |
| COMEX Copper - Sep 09 | 341.3 | 5 | 1.5% |
| WTI Spot | 74.7 | -0.47 | -0.6% |
| AUD-USD | 0.8919 | -0.0102 | -1.1% |
| Aluminium | 1,996.50 | 0 | 0.0% |
| Copper | 7,287.00 | 0 | 0.0% |
| Lead | 2,010.00 | 0 | 0.0% |
| Nickel | 20,555.00 | 0 | 0.0% |
| Tin | 21,400.00 | 0 | 0.0% |
| Zinc | 2,011.00 | 0 | 0.0% |
The Australian market surged higher yesterday as miners and banks led the index up after the US Federal Reserve indicated it was prepared to undertake extra stimulus measures. However the Aussie market is expected to open weaker this morning following a 140 point slide on the Dow overnight. The XJO is likely to test 4400 points today with the SPI indicating 30 point drop on the open.
Renewed fears of the speed of the US recovery drove crude oil price lower. Crude oil prices have closely followed US economic data and other signs of future demand, including global equity markets. High unemployment and weak demand in the US has caused Oil to fall from $US82 in early August to $US74.7 a barrel.
Expansion…
RioTinto has committed to a $US1.6 billion expansion of its Pilbara Iron ore operations. The company plans to develop the Hope Downs 4 iron ore project, to link with its existing rail, power and port infrastructure in the Pilbara. The development is expected to yeild an additional 15 million tonnes of iron ore, with the first production expected in 2013.
Newcrest Mining says it has taken control of Lihir Gold Ltd, following shareholder and overseas regulatory approval. The Miner advises the combined group will form the fourth largest gold company in the world by market capitalisation. Newcrest Mining reported a profit of $248.1 million for year to 30 June. LGL shares as at the close of business yesterday were suspended from quotation in accordance with the NCM takeover.
Contact your Freeman Fox Stockbroker on 07 3031 9960 or 1800 003 369 Ext 7.
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