Aussie stocks higher on strong earnings

AUSTRALIAN shares were higher at noon, as investors digested strong local company results at the end of the reporting season. At 1200 AEST, the benchmark S&P/ASX200 index was up 74.3 points, or 1.8 per cent, at 4274.3, while the broader All Ordinaries index was 72 points, or 1.7 per cent, higher at 4343. On the ASX 24, the September share price index futures contract gained 70 points at 4267, with 21,430 contracts traded. CMC Markets chief market strategist Michael McCarthy said that markets had seen strong company earnings growth throughout the reporting season. "From the bottom up, the company view is strong, we're seeing growth in earnings, on average across the market, of seven per cent, and that is in direct contrast to the fears that have driven markets lower over the last few months," Mr McCarthy said. Start of sidebar. Skip to end of sidebar. End of sidebar. Return to start of sidebar. "Without any major headlines coming out to knock the markets growth around, it looks like that very strong earnings growth we're seeing is starting to play out in share market prices." He said while trading volumes today were lighter than average, the market was likely to hold onto its gains till the close, unless major sell-offs took place on Asian markets. In local trade, QR National shares dropped four cents to $3.15, after reporting a big lift in full year net profit to $349.5 million for the 12 months to June 30. QR National said coal haulage volumes had remained soft in the first quarter of the current year as miners recovered from the Queensland floods. The major banks were stronger, with National Australia Bank up 51 cents at $23.66. ANZ was up 44 cents at $20.29, Westpac was 49 cents stronger at $20.54 and Commonwealth Bank gained 77 cents to $48.14. Among the miners, BHP Billiton was up 65 cents at $39.29 and Rio Tinto had gained $1.32 to $70.47. The price of gold in Sydney was $US1813.8 per fine ounce, up $US38.42 from Friday's local close at $US1775.38. National turnover was 788.9 million shares worth $1.5 billion, with 615 stocks up, 216 down, and 275 steady.