Australian Shares Open Strongly with Solid Gains in Media and Banking Sectors

The Australian market opened with a surge in media giant News Corp and major banks, driven by positive performances from Wall Street and a strong first quarter earnings result from National Australia Bank. The all ordinaries index rose by 42.3 points to 2870.2, while the all industrials index gained 78.9 points to 5192.3. National Australia Bank's record-breaking first quarter net profit of $724 million contributed to the rally.

Key Takeaways:

• The Australian market opened strongly with solid gains in media giant News Corp and major banks, driven by positive performances from Wall Street and National Australia Bank's strong first quarter earnings result.
• The all ordinaries index rose by 42.3 points to 2870.2, while the all industrials index gained 78.9 points to 5192.3.
• National Australia Bank's net profit rose by 38.7% to $724 million, contributing to a 61.6 cent gain to $26.61.
• The Dow Jones industrial average rose by 121.26 points to 9,324.58, and the Nasdaq composite index climbed to a record 2, 433.42 points.
• News Corp shares rose by 54 cents to $10.84, and its preferred shares gained 59 cents to $10.25.
• Resource stocks, except for WMC's 10 cent gain to $4.85, did not benefit as much as industrials.
• Oil, gas, and gold stocks were lower due to falls in oil and gold prices overnight.

Statistics:

• The all ordinaries index rose by 42.3 points to 2870.2.
• The all industrials index gained 78.9 points to 5192.3.
• National Australia Bank's net profit rose by 38.7% to $724 million.
• Dow Jones industrial average rose by 121.26 points to 9,324.58.
• Nasdaq composite index climbed to a record 2, 433.42 points.
• News Corp shares rose by 54 cents to $10.84.
• National Australia Bank's share price rose by 61.6 cents to $26.61.

Sources:

• Australian Financial Review (no date specified)
• Asia Pulse (January 27, 1999)
• News Corp (no date specified)
• COMTEX (http://www.comtexnews.com)