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Epic & Msn data

Epic	ASX
Time:	11:16:00
Mid Price:	2891.73
Change Today:
Change % Today:
Fifty Two Week High:
Fifty Two Week Low:
Market Capital:

Period & price data

Period	Price
Now:	2891.73
3 Months ago:
6 Months ago:
1 Year ago:

Additional information

Additional	Information
Market:	All Share Index
Sector:	General Mining
Epic:	ASX
News:	Latest news
Web Site:	UK Market Wrap
Other Articles:	18-03-201018-03-201017-03-2010

Commodities rise as US dollar weakens on Bullard comments, FTSE 100 climbs as Barclays and HSBC gain

Overview: the US stock market got off to a fast start with the main key indexes gaining over 1% to further strengthen the FTSE 100, which put up a resilient performance today, gaining nearly 2.5% to break through 5,300 and approach the 5,400 mark.

The Dow Jones Industrial Average advanced 1.6% in early trade, while the broader S&P 500 index climbed 1.9% and the technology heavy Nasdaq composite added nearly 2%. The stocks were driven by comments made earlier in the day by Federal Reserve Bank of St. Louis President James Bullard, who said that the Central Bank should continue buying mortgage-backed securities beyond Q1 of 2010, which weakened the US Dollar and lifted commodities.

Miners were the key force behind the market rally, responding to increases in metal prices. Base metals focused Kazakhmys (LSE: KAZ) and platinum miner Lonmin (LSE: LMI) led the blue chips with gains of over 5%. Banks Standard Chartered (LSE: STAN) and RBS (LSE: RBS), which climbed 4% and 5% respectively, and inter-dealer money broker ICAP (LSE: IAP), which added 4.5%, were the only non-mining stocks to make it to the leaderboard today.

No FTSE 100 constituent lost 1% or more today. Packaging group Bunzl (LSE: BNZL) and Tullow Oil (LSE: TLW) came close with losses of nearly 1%.

Commodities

Oil prices rose today as stock markets remained strong. January Brent Crude improved to US$89.19/barrel, while US light, sweet crude for January delivery reached US$79.50/barrel.

Most major oil and gas stocks were on the rise today, with the exception of Petrofac (LSE: PFC), which declined marginally, and Tullow Oil (LSE: TLW), one of the biggest fallers in the market with a 1.2% loss.

Supermajors BP (LSE: BP) and Shell (LSE: RDSB) both advanced 1.5%, while Cairn Energy (LSE: CNE) added 1.9% and BG Group (LSE: BG) rose marginally.

Midcaps were mixed. While Dragon Oil (LSE: DGO) added 1.2% and Dana Petroleum (LSE: DNX) posted a marginal gain, Heritage Oil (LSE: HOIL) lost almost 5% after selling its entire interests in Ugandan oil fields to Italian energy giant Eni (NYSE: E) for US$1.5 billion.

US focused junior Empyrean Energy (AIM: EME) was among the top performers in the sector with a 6.5% gain.

Energy investor Xtract Energy (AIM: XTR) headed in the opposite direction, slipping 12.5%, as did Atlantic Canada operating oil and gas group Enegi Oil (AIM: ENEG) and Peru, Colombia and Cuba operating oil and gas explorer and producer Gold Oil (LSE: GOO), which both tumbled 10%.

Iraq operating Irish oil company Petrel Resources (AIM: PET) also was in decline with a 6.7% loss.

Gold, silver and platinum rally to boost miners

Precious metals were buoyant with gold reaching new highs at US$1,172/oz, while silver and platinum advanced to US$18.92/oz and US$1,471/oz respectively.

Platinum miner Lonmin (LSE: LMI) led the sector with a 5.4% gain, while other FTSE 100 constituents gold miner Randgold Resources (LSE: RRS) and silver producer Fresnillo (LSE: FRES) climbed 4%.

Specialty chemicals firm Johnson Matthey (LSE: JMAT) added nearly 3%.

Yamana Gold (LSE: YAU) added 4%.

Aquarius Platinum (LSE: AQP) led the sector in the FTSE 250 with a 5.3% climb. Fellow midcaps gold miner Petropavlovsk (LSE: POG) and silver producer Hochschild Mining (LSE: HOC) advanced 3% and 1.2% respectively.

Turkey and Saudi Arabia operating gold explorer KEFI Minerals (AIM: KEF) led the juniors, surging 12.5%, while Tajikistan operating gold miner Kryso Resources (AIM: KYS) and Turkey focused gold miner Ariana Resources (AIM: AAU) followed with gains of 10% and 7% respectively.

Australian gold and copper prospector Solomon Gold (AIM: SOLG) and African focused nickel and gold exploration and development junior Nyota Minerals (ASX&AIM: NYO) climbed 5% and 4% respectively, while Africa operating gold miner GMA Resources (AIM: GMA) and Lesotho operating diamond miner Kopane Diamond Developments (AIM: KDD) both added more than 3%.

Turkey focused gold miner Stratex International (AIM: STI) and Philippines focused Metals Exploration (AIM: MML) headed in the opposite direction, shedding over 6%. Latin American precious metal miner Minera IRL (AIM: MIRL) was down 5%, while Brazil focused gold miner Horizonte Minerals (AIM: HZM) and Argentina focused gold explorer Patagonia Gold (AIM: PGD) lost more than 3%, as did Kyrgyzstan focused gold explorer and developer Chaarat Gold Holdings (AIM: CGH).

Copper and nickel rise

Base metals also improved today with copper and nickel rising to US$3.14/lb and US$7.63/lb respectively, while zinc reached US$1.02/lb.

Kazakhstan focused miners Eurasian Natural Resources (LSE: ENRC) and Kazakhmys (LSE: KAZ) led the sector with gains of almost 5%, while Rio Tinto (LSE: RIO) and Xstrata (LSE: XTA) advanced 4%, as did BHP Billiton (LSE: BLT). Anglo American (LSE: AAL) and Vedanta Resources (LSE: VED) followed, rising 3.5% and 3% respectively.

Antofagasta (LSE: ANTO) was up 2%.

London's only listed pure iron ore producer and FTSE 250 constituent, Ferrexpo (LSE: FXPO) outperformed the sector with a 10% rally.

South American focused junior miner Herencia Resources (AIM: HER) and zinc mining and recycling specialist ZincOX (AIM: ZOX) moved with the sector, tacking on 5% and 3% respectively.

Cement operator Prosperity Mineral Holdings (AIM: PMHL) went in the opposite direction with a 6.5% loss. Russia focused copper and nickel miner Amur Minerals (AIM: AMC) also fell, shedding 5%.

Banks, insurance, private equity

Standard Chartered (LSE: STAN) and Royal Bank of Scotland (LSE: RBS) led the banking sector with gains of 4%. Barclays (LSE: BARC) followed with a 3% climb, while Lloyds (LSE: LLOY) and HSBC (LSE: HSBA) added more than 2%.

Insurance stocks were in buying mode today with most major companies lodging gains. Prudential (LSE: PRU) was in the lead, advancing 3.7%. Standard Life (LSE: SL) climbed 2.2%, while Aviva (LSE: AV) added 1.7%. Old Mutual (LSE: OML) and RSA Insurance Group (LSE: RSA) gained nearly 1.5%. Legal & General Group (LSE: LGEN) was up 1%.

Private equity group 3i (LSE: III) rose 2.5%.

Small Cap Movers

Other notable movers among the small caps included African focussed soft commodity specialist, Agriterra Limited (AIM: AGTA) with a loss of 6% and emerging speciality pharmaceutical company Alliance Pharma (AIM: APH), which added almost 10%.

Large and Mid Cap News

Heritage Oil Plc (LSE: HOIL) announced that it has entered into a binding letter of intent, with Eni S.p.A for the sale of its entire interests in Blocks 1 and 3A in Uganda for up to $1.5 billion in a cash deal. Additionally this morning, Heritage declared that merger discussions with Genel have been terminated.

Experian Plc (LSE: EXPN) announced that it has created to joint venture in partnership with seven Indian banks, to establish a Credit Information Company in India. In April this year Experian was one of the few companies to be granted a provisional licence to operate a ‘credit bureau’ in India.

Dutch oil supermajor Royal Dutch Shell (LSE: RDSB) updated the market on its progress in Qatar, where  it is developing the Pearl GTL and Qatargas 4 projects in cooperation with state owned Qatar Petroleum, which operates all oil and gas activities in the country. While Pearl GTL was progressing in line with expectations, the US$ 8 billion Qatargas 4 project has been delayed by 10 months with startup now planned for late 2010.

RiskMetrics Group, a provider of risk management and corporate governance products and services to publicly listed companies, urged shareholders in Aquarius Platinum (LSE: AQP) to replace Ernst & Young as auditor after the Company paid non-audit fees of US$0.68 million.

FTSE100 international security firm, G4S (LSE: GFS) announced the acquisition of All Star International (All Star) for a cash consideration of US$59.9 million. All Star is the trading name of US secure facilities management company ‘Champions of the West’.

Small Cap News

Supplier of human tissue and human tissue-based services Asterand (AIM: ATD) has announced the extension of its collaboration with Bristol-Myers Squibb Company (NYSE: BMY) for access to its products and services for up to three years, focusing on its PhaseZERO drug discovery services and XpressBANK of human tissue and clinical samples.

First Quantum Minerals Ltd (TSX: FM; LSE: FQM) said it has agreed a recommended offer to buy Kiwara PLC (AIM: KIW; JSE: KWR) in a cash and shares deal, valuing the Zambia-focused mineral exploration and development company at approximately US$260.2 million.

Kurdistan focused exploration and production oil junior, Gulf Keystone Petroleum (AIM: GKP, ADR: GFKSY) were on the move again this morning after the company reported further results from the hugely successful Shaikan-1 Exploration Well.

Plant genetic research and development company FuturaGene (AIM: FGN) is set to accelerate the development of its proprietary draught and salt tolerance gene in poplar trees with another complementary project at Purdue university in the US, which has secured funding from the Consortium for Plant Biochemistry Research following a grant selection process.

Daniel Stewart & Co issued a note on Asterand PLC (LSE: ATD) following the company’s announcement last week it plans to buy privately-held US drug discovery services company BioSeek Inc for up to US$14 million in cash and shares.

Broker Fox-Davies Capital (FD-Capital) noted the latest discovery announcement from Iraq and Algeria operating Gulf Keystone Petroleum (AIM: GKP), calling its Shaikan-1 well in the Kurdistan region of northern Iraq “unstoppable” and increasing its target for the company to nearly double the current price.

Interim results from IT services provider, Phoenix IT Group (AIM: PNX) (‘Phoenix’) were received well by shareholders this morning after the company reported an encouraging start to the first half of its financial year.   Phoenix provides a range of IT services including network infrastructure support, managed services and specialist services.

Mobile web payments and analytics company Bango (AIM: BGO) has entered into a multi-territory agreement with Fox Mobile Group to provide it with its mobile web building platform services worldwide.

Manufacturer of laser screeding and profiling equipment Somero Enterprises (AIM: SOM) now expects its trading results for the full year to be below expectations as market conditions remained challenging.

Go-Ahead Group (LSE: GOG) has confirmed it has made a cash offer for 100% of the share capital of Plymouth CityBus (PCB) from Plymouth City Council (PCC), valuing it at £20 million.

Transense Technologies (AIM: TRT) (Transense) announced it has acquired the intellectual property (IP) relating to the Pneu-Logic Bluetooth-tyre inspection tools for an initial cash payment of £50,000. In June this year, Transense sealed a distribution deal for Pneu-Logic products. Today’s deal will allow Transense to reduce item costs in the competitive fleet service industry, which has recently seen rising tyre and fuel prices. Investors appear to be buoyed by the deal as Transense shares climbed 5% on the AIM market this morning.

In what the company has dubbed a ‘transformational transaction’, Energy XXI (NASDAQ, AIM: EXXI) announced that it had increased its interest in existing joint venture projects in the Gulf of Mexico through an asset purchase with fellow New York listed energy group Mitsui & Co.

West African Diamonds PLC (AIM: WAD) told shareholders at the annual General meeting that the planned merger with Stellar Diamonds Ltd is proceeding well, and a relisting of the enlarged entity on AIM is planned for early February 2010.

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