News: Midday: Aus shares extend gains

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With strong leads from Europe and the US the Australian share market extended yesterday’s gains and is 0.6 per cent up at noon.

 

Energy stocks and the miners led the gains today with Woodside Petroleum and BHP Billiton both up more than 3 per cent.

 

The gains come before an ECB meeting tonight where media reports are pointing towards expected stimulus spending of €50 billion a month to help Europe avoid deflation.

 

The S&P/ASX 200 indexis 32 points up at 5,426. On the futures market the SPI is 32 points higher.

 

Company news

 

Metals X Limited (ASX:MLX) will work with Neometals to help develop the Mt Marion Lithium Project. The tin miner says the agreement involves leasing land which adjoins the Mt Marion site and allowing lithium mining on the site with a royalty of $2/t to be paid as well as 1.5 per cent NSR on downstream sales. The company will also sell its mining lease and remaining infrastructure on the site to Neometals. Shares in Metals X are trading down 0.93 per cent at $1.07 

 

Bank of Queensland Limited (ASX:BOQ) has announced that non-executive director Steve Crane has resigned from the BOQ Board. The bank says Mr Crane joined the board in 2008 and has provided substantial insight and expertise which has helped turn around the company’s performance. Mr Crane says with a new CEO in place to implement the Group’s strategy, BOQ is in a great position for the future. Shares in BOQ are trading up0.63 per cent at $12.04 

 

Best and worst performers 

The best performing sector is energy, gaining 2.7 per cent to 10,622. Shares in Whitehaven Coal Limited (ASX:WHC) have risen 6.52 per cent and trading at $1.23. Shares in Beach Energy Limited (ASX:BPT) and Senex Energy Limited (ASX:SXY) are also stronger.

 

The worst performing sector is real estate investment trusts, falling 0.6 per cent to 1,229. Shares in Goodman Group (ASX:GMG)have fallen 1.01 per cent, trading at $5.90. Shares in Westfield Corp Limited (ASX:WFD) and DEXUS Property Group (ASX:DXS) are also lower.

 

Gold and the dollar

Gold is trading at $US1,291 an ounce.

The Australian dollar is buying $US0.8091.