Good morning and welcome to the Morning Outlook. I’m Rachael Jones reporting live from Kalkine
TV Sydney studios.
The Australian shares are likely to open higher this morning. According to the latest SPI
futures, the ASX 200 is likely to open 18 points or 0.25% higher. At the closing bell,
the S&P/ASX 200 was 0.3 per cent or 25 points higher at 7,479. The best-performing sector
was Energy, up almost 1 per cent. The worst-performing sector was Real Estate Investment Trusts,
down 0.5 per cent. The best-performing stock in the S&P/ASX 200 was AVZ Minerals (ASX:AVZ),
closing 11.7 per cent higher at $1.15. The worst-performing stock in the S&P/ASX 200
was Adbri (ASX:ABC), closing 4.6 per cent lower at $2.88.
Engineering company the Monadelphous Group has secured a number of new contracts and
contract extensions in the resources and energy sectors in Australia and Papua New Guinea
totalling approximately $230 million. The Company has secured a contract with Rio Tinto
for the provision of shutdown works at the Greater Tom Price operation in the Pilbara
region of Western Australia. Also in Western Australia, they secured a contract at Synergy’s
Muja Power Station in Collie. In Queensland, the Company has secured a contract with Origin
and in New South Wales they secured a construction services contract with Tronox Mining Australia
in Broken Hill. And finally, in Papua New Guinea, Monadelphous has been awarded a contract
with Newcrest.
The CIMIC Group today announced its financial result for the three months to 31 March 2022
showing net profit after tax of $108 million, Revenue up 7% to $2.3 billion, with growth
achieved in Australian Construction and Services. Operating cash flow improved by $296 million
compared to the first quarter of 2021. It confirmed Financial year 2022 NPAT guidance
of $425m‐$460m with a strong level of work in hand and positive outlook across the company’s
core activities.
Bank of Queensland report statutory net profit after tax increased 38% to $212 million. Cash
earnings of $268m have increased 14% from first half of 2021 and reflect the ongoing
business momentum through the half, with a focus on costs and the benefit of lower loan
impairment expenses. It will pay an interim dividend of 22 cents a share, on May 26, which
represents 53 per cent of 1H22 cash earnings. We’re going to take a short break now but
we will be back with everything you need to know to trade today.
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Welcome back. Im Rachael and
you are watching the Morning Outlook report. On Wall Street, the Dow Jones rose 1%, the
S&P 500 climbed 1.1%, and the NASDAQ jumped 2%. In Europe, the Stoxx 50 fell 0.1%, the
FTSE gained 0.1%, the CAC rose 0.1%, and the DAX ended 0.3% lower. Bank of Canada on
Wednesday raised interest rates by half a percentage point, its biggest single move
in more than two decades, and promised more hikes to fight soaring inflation that is being
driven in part by the war in Ukraine. Overnight in Asia, much weaker-than-expected import
data from China weighed on the outlook but added to views that Beijing could ease policy
further. Oil prices jumped on Wednesday, as a large increase in US crude inventories
failed to soothe worries about tight global supply, with major oil traders expected to
shun Russian barrels. Brent crude settled up 4%, to US$108.78. WTI crude futures ended
up 3.7% to US$104.25. Gold prices hit a one-month high on Wednesday as rising consumer
prices boosted its appeal as an inflation hedge, with investors seeming to look past
an impending interest rate hike by US Federal Reserve. US gold futures settled up 0.4%
at US$1,984.70. Have a great day trading and stay tuned for more market updates and
economic news live throughout the day. This is Rachael Jones signing off for now.