AUSTRALIA Copper rise bright spot for miners

Press, 7 May 1984, Page 30

AUSTRALIA Copper rise bright spot for miners

NZPA Sydney A turnaround in the copper price, strength on Wall Street, and unsubstantiated rumour about BHP’s petroleum exporation jointventure off the Chinese mainland provided midweek support and action in an otherwise quiet week of trading on Australian stock exchanges. Copper firmed one U.S. cent per ounce on Tuesday night, ending a fortnight’s slide, during which the price fell 10 per cent.

The reversal coincided with a jump in Wall Street indices and sparked a twoday recovery in metal leaders but profit-takers on Friday deflated the rises. A fall in the cost of living for December encouraged investment ' in industrials mainly as it indicated a lower wage rise. Share price rises were never convincing, however, as there was little volume because investors were re-

luctant to chase large parcels. They said some of their colleagues bought up leading stocks on Thursday to offer that night in London, but found overseas investors uninterested and so were forced to dump stock to avoid week-end holding charges. Brokers reported United States interest in News Corp and Boral.

Speculation ended on a bid by North Broken Hill for E.Z. Industries, and E.Z. dropped 30c during the week to 538 c.

The main speculation for the week was on BHP. Rumour from Lndon on Thursday claimed oil shows from a well being drilled in the Yellow Sea by British Petroleum in partnership with BHP and others.

BHP denied any knowledge, but the price still rose that day, only to fall on Friday with the general price decay. Media stocks were strong, News Corp closing at 1100, Fairfax at 530, and HWT 350.

Insurers, were mixed, FAI off 10c at 610, and MLC up 50c at 1950.

Bonds Coats Paton, at 265, Allens Confectionery, 370, Gibson Chemical, 300, and TV Wollongong, 630, fell 10c. Bell Resources fell 10c to 630. Parry rose 30c to 300 and Australian Agricultural 10c to 410. National turnover was 32.46 M shares for sAust36.7BM, 168 stocks rising and 186 falling. Brokers believe there is still pent-up buying from Easter and if a strong lead is given the market will rise to prices that will dislodge large parcels of stock.

The Jabiru Two well is scheduled to spud in the Timor Sea and provide action for shareholders in BHP and Weeks Australia, the major listed partners in the well. > Brokers said there could be more rises for media stocks. They said that investors were probably chasing stock ahead of the Reuter float.

Bell Resources ended strongly at 630 on media reports that institutions would accept the Bell offer for Weeks Petroleum and so ensure its success. Weeks closed at 530.