Logo 2016

Burrell Stockbroking and Superannuation is a longstanding Queensland company providing full stockbroking, superannuation, wealth management and advisory services to private clients, Not-for-Profit and other investment organisations.


Morning (AM) Market Report

U.S. shares closed lower overnight as corporate earnings and some economic data disappointed, while the European Central Bank kept its interest rates and asset purchases unchanged.


Afternoon (PM) Market Report

The Australian market started the day on a high point, but gave up all of the gains shortly after the release of employment numbers.

Thursday, 20th October 2016

Local stocks picked up some momentum before midday, ending with slight gains in seesawing trade. There were mixed results from the sectors; energy was the best performer for this session while consumer staples lagged behind the rest. The Australian dollar fell against most major currencies.

The All Ordinaries gained 7.80 points (0.14%) to 5,526.20 while the S&P/ASX 200 rose 6.70 points (0.12%) to 5,442.10.

Fortescue Metals Group released its September 2016 quarterly production results, reporting shipments of 43.8Mt of iron ore consistent with guidance and prior performance. Cash production costs (C1) improved to US$13.55 per wet metric tonne (wmt), a reduction of 5% compared to the June 2016 quarter and 20% over the prior twelve months. During the quarter the Company repaid US$700m of debt and reduced net debt to US$4.2bn inclusive of US$1.8bn cash and finance leases of US$0.5bn. The Company agreed to acquire BC Iron's 75% interest in the Nullagine JV for A$1 and will constantly evaluate the viability of restarting operations subject to market conditions. FMG lost 10 cents (-1.94%) to $5.05. South32 provided quarterly report for the period ended September 2016. Net cash position increased by US$239m in the September 2016 quarter to US$551m. Production and unit cost guidance remains unchanged for the majority of operations. Strong domestic demand underpinned a 2% increase in South Africa Energy Coal production, while an expected decline in ore grades and scheduled maintenance led to a 9%, 7% and 5% reduction in nickel, silver and zinc production, respectively. Illawarra Metallurgical Coal sales of 9.3Mt expected in FY17 as the operation has recovered from challenging ground conditions at Appin and inventory has been reduced by 300kt. South Africa Manganese mines operating at the optimised 2.9Mwmt pa rate (100% basis) following the decision to stop work at the Wessels underground mine in June 2016. S32 dropped 1 cent (-0.39%) to $2.58. Woodside Petroleum provided third quarter report for the period ended 30 September 2016. Production was 13.5% higher than the previous quarter. The Julimar Project completed all construction and commissioning work on schedule and under budget. Persephone project commenced reservoir drilling and completion activities ahead of the subsea installation campaign commencing in Q4 2016. Greater Enfield project transitioned into the execute phase following a final investment decision in June 2016. Processing of new multi-client 3D seismic data in the Luna Muetse Block is expected to be completed in Q4 2016. On 14 July 2016, the Company announced it had entered into a binding Purchase and Sale Agreement with ConocoPhillips to acquire all of ConocoPhillips' interests in Senegal. WPL added 27 cents (0.92%) to $29.57.

The NZX lost 2.76 points (-0.04%) to 6,973.78 while the Nikkei rose 213.45 points (1.26%) at the time of writing to be last quoted at 17,212.36.

The Australian dollar was last quoted at 76.56 US cents.

Equities / Fixed Interest Close Change % Change 
All Ordinaries 5526 8 0.14
S&P/ASX 200 5442 7 0.12
Currency Close Pts Change % Change 
$A vs $US 0.7656 -0.0069 -0.89
$A vs GBP 0.6239


$A vs EUR 0.6990 -0.0046 -0.65
$A vs YEN 79.40 -0.47 -0.58
$A vs $NZ