MARKET TALK: S&P/ASX 200 Up 0.3%; Miners Strong

7th Jul 2010 01:42

0042 GMT [Dow Jones] S&P/ASX 200 up 0.3% at 4287.5 after hitting 4262.6 in early trading, in line with modest falls in Asian equities. Follows muted and indecisive gains on Wall Street, as disappointing U.S. services ISM data offset optimism over China's infrastructure spending plans, which boosted resources in London. Financials mostly stronger, with National Australia Bank (NAB.AU) up 0.1%, after rising 3.0% yesterday, ANZ (ANZ.AU) up 0.8% and Macquarie (MQG.AU) up 0.7%. Resources sustaining yesterday's upward momentum, with BHP (BHP.AU) up 1.3%, Rio Tinto (RIO.AU) up 1.8% after China said it will pull forward US$100 million in planned infrastructure spending to this year. "China's infrastructure spending plans gave the market a bullish catalyst," says Patersons senior private client adviser Peter Morgan. "You would expect some strength after recent steep declines in equities. I do believe there could be more of a pickup in the market today because there's a global tide of enthusiasm at the moment. Suddenly, the bulls are back in town and because the market is so profoundly cheap, it's hard to see the market not wanting to continue to with a 'risk on trade'." 2.8%. ([email protected]) Contact us in Singapore. 65 64154 140; [email protected] (END) Dow Jones Newswires July 06, 2010 20:42 ET (00:42 GMT)