AUSTRALIA Prices firm all round

Press, 19 August 1985, Page 30

AUSTRALIA Prices firm all round

NZPA Sydney Prices firmed across the boards on Australian sharemarkets last week as investors responded to firmer bullion prices and on continued speculative activity in situation stocks. The all-ordinaries index finished the week 14.3 points higher at 956.0, the allindustrials marker jumped 17.3 points to 1388.5, and the all-resources index added 11.8 points to 620.8. The gold index rose 47.2 points to 1078.9. Turnovers were moderate to active for most of the week as investors shrugged off concern about high domestic interest rates and uncertainty about this week’s Federal Budget.

Brokers said news that the Federal Government had abandoned plans for widespread tax reform boosted confidence among investors and spurred demand for blue-chip stocks.

The market leader, BHP, rose 26c to 712 on speculation that Mr Robert Holmes aCourt’s Bell Group and Mr John Spalvin’s Adelaide Steamship Company were engaged in heavy demand for the resource giant. Blue-chip miners attracted good support with MIM up 20c at 288, CRA 8c higher at 590, and Peko up 7c at 475.

Retailing stocks continued to dominate trading as Woolworths announced a partial link with the Safeways group of the United States, and on continued demand for Coles and Myer shares.

Coles, which the previous week announced a sAustl.l7 billion take-over of Myer, rose 16c to 411, Myer advanced 3c to 338, and Woolworths rose 2c to 348.

Banking stocks were discounted as Westpac dropped 11c to 473, ANZ 6c to 512 with National Australia steady at 470. Strong demand, which had pushed the market to record levels throughout the week, waned in most sectors except gold on Friday. Gold stocks attracted good support after a generally dull performance throughout the week after an overnight SUS 6 rise in international bullion prices.