Shares claw back earlier trading losses
THE Australian share market cl awed back earli er losses to close flat as bargain hunters took advantage of oil-induced weakness to buy back into stocks.
T h e b e n c h m a r k S & P / ASX200 index was up 10.3 points, or 0.21 per cent, at 4,808.2 points, while t he broader All Ordinaries index added 6.6 points, or 0.13 per cent, to 4,902.5 points.
IG Markets market strategist Ben Potter said traders had realised the sell-off on Monday was overdone and had stepped into the market yesterday to snap up bargains.
‘ ‘ R u m o u r s o f ( L i b y a n leader Muammar) Gaddafi s e e ki ng a n o r c hes t r a t e d standing down saw oil and gold prices retreat from their overnight highs,’’ Mr Potter said.
‘‘ This seems to have eased some of the fears in the market.
‘‘ While the problems in Libya are rattling global confidence and sentiment, they have very little actual impact on the majority of our big blue chip names.
‘‘ Investors are choosing to look past the short-term volatility and pick up these quality names at reduced prices.’’
Mr Potter said financial, energy and industrial stocks led the market back into positive territory.
Commonwealth Bank was up 12 cents at $ 51.81, Westpac gained 27 cents, or 1.16 per cent, to $ 23.49, ANZ put on 28 cents, or 1.19 per cent, to $ 23.77, and National Australia Bank was 16 cents higher at $ 25.30.
Amon g e n e r g y s t o c k s , Woodside was up 28 cents at $ 42.70, Santos appreciated 13