Despite a negative start influenced by generally weaker commodity prices, Australian stocks are holding near five year highs at lunchtime in the East.
Egypt's stock exchange. Siddiqi has revised down his end of year estimates (Photo: Reuters)
Overnight, the so-called "Yellen effect" saw European markets hit 5 year high and US markets record triple digit gains. Current Vice President of the US Central Bank Janet Yellen is being widely tipped to replace Ben Bernanke when he retires in January. Yellen is seen by many in the market as more "dovish" than :arry Summers who has pulled out of the race for the job, and therefore is likely to maintain Bernanke's policy of stimulus and low interest rates.
Meanwhile, minutes from the RBA's September Board meeting have been released today, showing our central bank still remains concerned about the Aussie dollar. The RBA also noted that mining investment is likely to decline over the next few years.
Mining stocks are the biggest drag on our market today, following general weakness on commodity prices overnight. BHP Billiton (BHP) shares are down 0.6 per cent to $36.05 while Rio Tinto (RIO) is weaker by 0.7 per cent to $62.96.
TPG Telecom (TPM) shares are up 9.7 per cent to $4.06 after the telco substantially lifted its annual net profit by growing the number of its broadband and mobile phone subscribers. TPM has booked an annual net profit of $149.2M for the year ended July 31, up 64 per cent on FY12's result.
The Australian dollar has had a small slide below US93c following the release of the RBA minutes. At lunchtime in the East the AUD is buying US92.96c, down from US93.1c.
So far on the market, a total of 686 million shares have changed hands, worth $1.8 billion. 376 are up, 360 are down and 288 are unchanged.
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